Kizi Apparels IPO Listed at ₹23 a Share on BSE SME Platform

Tanushree Jaiswal Tanushree Jaiswal

Last Updated: 6th August 2024 - 02:20 pm

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On August 6, Kizi Apparels' shares made a respectable start on the stock market, listed at ₹23 a share, which was 10.2% more than the IPO price of ₹21 per share on the BSE SME platform. Following 115 subscriptions, the ₹ 5.58-crore public offer which is essentially a fresh issue of 26.58 lakh shares—received strong interest from investors.

The Kizi Apparels IPO, a fixed-price issue valued at ₹5.58 crores, involves a fresh issue of 26.58 lakh shares priced at ₹21 per share. The bidding period ran from July 30 to August 1, 2024, with allotments finalized on August 2, 2024. The IPO is scheduled to list on BSE SME on August 6, 2024. Retail investors must invest a minimum of ₹126,000 for 6,000 shares, while High Net-Worth Individuals (HNI) need to invest ₹252,000 for 12,000 shares. 

Interactive Financial Services Ltd is the book-running lead manager, Bigshare Services Pvt Ltd is the registrar, & Beeline Broking is the market maker. The IPO allocates 2,658,000 shares: 1,260,000 (47.40%) each to Non-Institutional Investors (NII) & Retail Individual Investors (RII), & 138,000 (5.19%) to the market maker.

Kizi Apparels specializes in producing and selling ready-made clothing via its online store, distributors, malls, and showrooms. The business was appointed Reliance Retail's official manufacturer in 2021. It entered into a three-year contract and non-disclosure agreement (NDA) with Mumbai's Reliance Retail Limited on May 30, 2023.

The business intends to use the net proceeds of the offering for general corporate purposes, paying public issue expenditures, long-term working capital requirements, and repaying unsecured loans.

Check Kizi Apparels IPO Subscription for Day 3

To Summarize

Kizi Apparels' shares listed on the BSE SME platform at ₹23 apiece on August 6, a 10.2% premium over the IPO price of ₹ 21 per share. Despite missing grey market estimates of a 23% premium, the ₹5.58-crore IPO was well-received, with a subscription rate of 115 times. Retail investors subscribed 140 times their allotted quota, while non-institutional investors subscribed 89.58 times. The positive debut indicates strong market interest in Kizi's ready-to-wear clothing business & its new e-commerce platform.

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