Matrimony.com makes tepid debut on BSE, lists at issue price of Rs 985
ETMarkets.com|
Updated: Sep 21, 2017, 04.35 PM IST
NEW DELHI: Matrimony.com on Thursday made a tepid debut on BSE, as the scrip got listed at Rs 985, which was same as the issue price.
The scrip has been included in the list of 'B' Group of securities on BSE.
The Rs 500 crore initial public offer(IPO), which ran during September 11-13, was subscribed 4.44 times.
The qualified institutional buyers (QIBs) portion was subscribed 1.88 times, non-institutional investors 41 per cent and retail investors 18.16 times.
The scrip closed Thursday's session at Rs 901.20, down 8.51 per cent.
At the issue price, the stock was valued at 46.2 times post dilution P/E for FY17. Consumer internet services companies generally trade at premium valuation on account of their fancy on the Street. But some analysts complained of stretched valuations for Matrimony on account of weaker financials than peers.
The issue comprised of fresh issue of up to Rs 130 crore and an offer for sale (OFS) of up to 37,67,254 shares. The company allotted 22,93,277 equity shares at Rs 985 per share aggregating to Rs 225. 88 crore to 10 anchor investors including Goldman Sachs, HDFC Trustee company and Baring Private Equity India AIF.
The total number of unique visitors for the top three players declined from 3.75 million in March 2015 to 1.76 million by June 2017.
"While the decline in Matrimony.com has been lower compared to others, the falling trend in the industry is a cause of concern," Centrum Broking said in a recent note.
The scrip has been included in the list of 'B' Group of securities on BSE.
The Rs 500 crore initial public offer(IPO), which ran during September 11-13, was subscribed 4.44 times.
The qualified institutional buyers (QIBs) portion was subscribed 1.88 times, non-institutional investors 41 per cent and retail investors 18.16 times.
The scrip closed Thursday's session at Rs 901.20, down 8.51 per cent.
At the issue price, the stock was valued at 46.2 times post dilution P/E for FY17. Consumer internet services companies generally trade at premium valuation on account of their fancy on the Street. But some analysts complained of stretched valuations for Matrimony on account of weaker financials than peers.
The issue comprised of fresh issue of up to Rs 130 crore and an offer for sale (OFS) of up to 37,67,254 shares. The company allotted 22,93,277 equity shares at Rs 985 per share aggregating to Rs 225. 88 crore to 10 anchor investors including Goldman Sachs, HDFC Trustee company and Baring Private Equity India AIF.
The total number of unique visitors for the top three players declined from 3.75 million in March 2015 to 1.76 million by June 2017.
"While the decline in Matrimony.com has been lower compared to others, the falling trend in the industry is a cause of concern," Centrum Broking said in a recent note.
