Shares of Saraswati Saree Depot Ltd. were listed on Tuesday at a 25 per cent premium to the issue price of Rs 160.
The stock debuted at Rs 200, registering a 25 per cent jump from the issue price on the BSE. It later zoomed 31.21 per cent to Rs 209.95.
At the NSE, the firm’s shares are listed at Rs 194, up 21.25 per cent.
The company’s market valuation stood at Rs 831.40 crore.
The initial public offering of Saraswati Saree Depot, a key player in the saree wholesale segment, was subscribed to 107.39 times on Wednesday, the last day of subscription.
The Rs 160-crore initial share sale had a price range for the offer at Rs 152-160 per share.
The company proposes to use the net proceeds from the fresh issue to fund working capital requirements and general corporate purposes.
The Kolhapur-based company, whose origin in the sarees business dates back to the year 1966, is also engaged in the wholesale business of women’s apparel such as kurtis, dress materials, blouse pieces, lehengas, and bottoms.
The company sources sarees from different manufacturers across India and has developed relationships in hubs like Surat, Varanasi, Mau, Madurai, Dharmavaram, Kolkata, and Bengaluru.
Saraswati Saree Depot operates from two stores in Kolhapur and Ulhasnagar, Maharashtra.