Now Reading: Milky Mist IPO booked 42 times on final day, QIBs lead
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Milky Mist IPO booked 42 times on final day, QIBs lead
Milky Mist Dairy Food's Rs 1,553-crore IPO was subscribed 42.29 times on the closing day, with qualified institutional buyers (QIBs) leading demand at 112.28 times their allotted portion, reports The Hindu BusinessLine.…
The Story in Brief
Milky Mist Dairy Food's Rs 1,553-crore IPO was subscribed 42.29 times on the closing day, with qualified institutional buyers (QIBs) leading demand at 112.28 times their allotted portion, reports The Hindu BusinessLine. The non-institutional investors' portion was subscribed 31.57 times, retail 7.01 times and employee portion 10.74 times. The price band is Rs 133-140 per share.
The issue, the largest IPO by an Indian dairy company, comprises a fresh issue of Rs 1,428 crore and an OFS of Rs 125 crore. Milky Mist raised Rs 465.3 crore from anchor investors. Proceeds will repay borrowings, expand its Perundurai plant and strengthen cold-chain infrastructure. Listing on BSE and NSE is scheduled for August 18.
The Indian Opinion
The 42-times subscription hides a plain fact: the IPO is priced at 84.9 times FY26 earnings, more expensive than any listed dairy peer. Analysts call it 'fully priced' yet still recommend subscribe, which tells you more about IPO frenzy than fundamentals. The real test will come on August 18, when the stock lists. If the Rs 22 grey market premium shrinks on listing day, retail investors who chased the issue will learn a hard lesson about valuation.
Sources (3): livemint.com, thehindubusinessline.com, thehindubusinessline.com (2)
This story was synthesised by AI from the 3 sources linked above.
Updated: this story now draws on 3 sources.
