On the second day of the IPO, good response was seen from investors. The issue was subscribed more than four times on October 6.
Non-institutional investors bought shares at a much higher rate than retail investors did.
The qualified institutional buyers bought 2.14 times the reserved portion.
The issue was subscribed 1.69 times.
The first public issue of Electronicsmart India limited was opened on October 4 with a price range of Rs 56-59 per share.
The fresh issue of equity shares will be used for expansion and opening of stores and warehouses and repayment of debts besides general corporate purposes.
Angel One said that the post-issue P/E of the company is low compared to its peers.
Moneycontrol has an exclusive research note on the electronicsmartindia IPO.
Over 2 years, EMIL has better revenue growth with aCAGR of 17 percent. The brokerage thinks the valuation is reasonable. He recommended that the issue be subscribed.
More than 70 consumer durable and electronic brands are offered by the four largest consumer durable and electronics retailer in India.
Currently the company has 112 stores across 36 cities and plans to open a total of 58 stores till FY 25 from the IPO proceeds.
Tracxn is different because of India cost arbitrage or limited competitors.
It's in line with their strategy to expand in clusters. Dalal & broacha stock broking believes that EMIL will grow in line with the industry.
The IPO is attractively priced and we recommend to subscribe to it.
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