Shares of Honasa Consumer Ltd., which owns new-age FMCG brands like Mamaearth and The Derma Co, debuted on Tuesday, listing with a gain of nearly 2% on the National Stock Exchange against the issue price of Rs 324.
The stock began trading at Rs 330, up 1.85% on the NSE. It later hit a high of Rs 337.60 and a low of Rs 323 in the session so far. The stock listed at par with the issue price of Rs 324 on the BSE.
Actress Shilpa Shetty, who is one of the earliest investors in the company, congratulated co-founders Varun and Ghazal Alagh on it stock market debut.
In a post on X, Shetty tagged the husband-wife duo and wrote: "Dreams do come true… with FAITH. From bootstrap to unicorn to now becoming an IPO… what a journey it's been for Mamaearth.(sic)"
"Incredibly proud of our trajectory Upwards and onwards. Godspeed," she added.
She was also present at the share listing ceremony at the National Stock Exchange in Mumbai.
Shilpa Shetty sold her 13.93 lakh shares in the offer for sale portion of the IPO. She has earned around Rs 45.14 crore from this public issue and still owns around 2.30 lakh shares in the company.
Dreams do come true… with FAITH.
November 7, 2023
From bootstrap to unicorn to now becoming an IPO… what a journey it's been for @mamaearthindia, @VarunAlagh @GhazalAlagh 😍🧿♥️
Incredibly proud of our trajectory 💪🧿💪Upwards and onwards.
Godspeed😇🎉#Mamaearth #GoodnessInside #specialday… pic.twitter.com/h8NiLfqhbtThe Initial Public Offer (IPO) of Honasa Consumer was subscribed 7.61 times on the last day of subscription on Thursday. The Rs 1,701.44 crore IPO had a price range of Rs 308-324 a share.
Honasa Consumer intends to use the proceeds largely towards advertising expenses to enhance brand visibility. It also plans to deploy funds for capital expenditure to set up new Exclusive Brand Outlets and invest in its subsidiary, BBlunt, to set up new salons.
Honasa Consumer raised Rs 765.2 crore from anchor investors ahead of its IPO. The beauty and personal care company allotted 2.36 crore shares at Rs 324 apiece to 49 anchor investors.
The marquee investors include Capital Group (through Smallcap World Fund Inc., which was allocated the highest anchor allocation of 8.76%), Fidelity International, Norges Bank, Abu Dhabi Investment Authority, First Sentier (First State Investments), White Oak, Franklin Templeton, Kotak, DSP, Carmigniac Gestion, Loomis Sayles, Matthews, Pictet and Hornbill, and Goldman Sachs, among others.
The Gurugram-based beauty and personal care company was founded in 2016 by husband-wife duo Varun and Ghazal Alagh.
It began with the launch of Mamaearth and over the years added five more brands to its portfolio, including The Derma Co, Aqualogica, Ayuga, BBlunt, and Dr Sheth's and built a 'House of Brands' architecture.
(With PTI inputs)
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