Bharti Hexacom IPO Subscribed 29X and received positive response from investors through three-day subscription period. Listing date set for April 12, shares to be credited to demat accounts on April 10. GMP stands at +98, signaling strong investor interest in Company.
Shares of Bharti Hexacom Ltd may deliver decent listing gains to investors later today. The grey market premium for the telecom and broadband services provider has been creeping higher gradually since the issue opened for bidding on.
as latest hearing, Bharti Hexacom was commanding a premium of Rs 95-100 in the grey market, suggesting a listing pop of 17-18 per cent over the issue price of Rs 570 per share. The premium in the unofficial market stood at Rs 80-85 a day ago while it was Rs 65 apiece when the issue got opened for public bidding.
Bharti Hexacom leverages a large customer base, strong brand recognition, and an extensive distribution network to operate in high-growth markets. Additionally, the company benefits from its association with its supportive parent company, Bharti Airtel, Nyati added.
The New Delhi-based company sold its IPO in the Rs 542-570 price range. The company successfully raised Rs 4,275 crore through its stake sale, which consisted entirely of an offer-for-sale of up to 7,50,00,000 equity shares by Telecommunications Consultants India.
“We expect Bharti Hexacom to list a healthy 10-12 per cent above its issue price, considering the current optimistic uptrend in the markets, along with healthy subscription demand, ” said Prashanth Tapse, Senior VP Research, Mehta Equities. “We recommend allotted investors to ‘hold’ it for long term perspective only,” he said.
The telecommunications-services provider witnessed a strong response to its IPO, fetching an overall subscription of 29.88 times. The quota for qualified institutional bidders was subscribed 48.57 times while that of non-institutional bidders was subscribed 10.52 times. The portion reserved for retail investors was subscribed 2.83 times.
Bharti Hexacom offers fixed-line telephone and broadband services to clientele across Rajasthan and the North East telecom circles in India. Its service footprint extends to states including Rajasthan, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, and Tripura.
The book running lead managers for the Bharti Hexacom IPO included Axis Capital, BoB Capital Markets, SBI Capital Markets, ICICI Securities, and IIFL Securities, with Kfin Technologies serving as the registrar for the issue.
Disclaimer: Finance Gurukul provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
