Landmark Cars lists at nearly 7% discount on bourses amid weak market sentiment
- Shares of Landmark Cars listed at ₹471 against the issue price of ₹481 per share.
- Overall, the IPO received decent demand from investors amidst volatile market conditions, being subscribed 3.06 times.
- The market capitalisation of the company stood at ₹1,865 crore.
AdvertisementShares of automotive dealership chain Landmark Cars made a weak market debut on Friday as it listed at a discount of 6.92% on the bourses at ₹471 as against the issue price of ₹481 per share.
At 10:20 a.m., shares of the company were down over 9% at ₹458 amid weak market sentiments.
This is in line with its grey market expectations which predicted it to list at a discount of up to ₹15. GMP is the premium at which IPO shares are traded in the unofficial market before they are listed on the stock exchanges.
Negative sentiment in the market also weighed on the listing considering benchmark indices Sensex and Nifty50 were down 0.8% in the first hour of trade today – while Sensex fell 458 points, Nifty declined 143 points.
The market capitalisation of Landmark Cars currently stands at ₹1,865 crore, according to BSE data.
The Landmark Cars IPO had received decent demand from investors amidst volatile market conditions, as it was subscribed 3.06 times.
The qualified institutional buyer portion was the most subscribed by 8.71 times. The portion reserved for non-institutional investors witnessed a subscription of 1.32 times. Retail portion saw poor demand with 0.59 times subscription.
This year, 36 IPOs made their stock market debut on the BSE mainboard. Most of them gave positive listing gains, except seven issues. Here are the top five best performing IPOs in 2022.
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The company has raised ₹552 crore through a fresh issue of shares aggregating to ₹150 crore and offer for sale (OFS) by promoters and shareholders worth ₹402 crore.
Landmark Cars is a premium automotive retail business with dealerships for brands like Mercedes-Benz, Honda, Jeep, Volkswagen and Renault.
It also offers services such as sales of new vehicles, after-sales service and repairs (including sales of spare parts, lubricants and accessories), sales of pre-owned passenger vehicles and facilitation of the sales of third-party finance and insurance products.
It has a network of 112 outlets in 8 Indian states, comprising 61 sales showrooms and outlets and 51 after-sales services and spare outlets.
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