Exceptional Debut for Encompass Design India
Encompass Design India, a consumer products company, made a remarkable debut in the Indian stock market today, December 12. The company's share price was listed at ₹203.30 apiece on the NSE SME platform, which is a 90% premium over the issue price of ₹107.
Outperforming Expectations
The IPO listing exceeded Street expectations, with a grey market premium (GMP) of ₹80 per share. This indicated a likely listing price of around ₹187, which is a 74.77% premium over the upper end of the issue price band.
IPO Details
Here are some key details about the Encompass Design India IPO:
- IPO size: ₹40.21 crore
- Number of shares: 38 lakh equity shares (fresh issue)
- Lot size: 1,200 shares
- Minimum investment: ₹2.56 lakh (2 lots at the upper price band of ₹107)
Use of Proceeds
The company plans to use the proceeds from the IPO for various purposes, including:
- Capital expenditure: ₹11.49 crore (purchase of office premises, interior work, and refurbishment activities)
- Working capital: ₹7.29 crore
- Repayment of borrowings: ₹11 crore
- General corporate purposes: remaining amount
About Encompass Design India
Encompass Design India Limited (EDIL) is a consumer products company that operates under the brand name 'ScaleSauce'. The company specializes in building and expanding consumer brands across India, focusing on the home, living, and food categories. EDIL's core operations include the production of home and lifestyle goods, as well as a range of food items, particularly sauces, marketed under its various in-house brands.
Disclaimer: This story is for educational purposes only. Investors should consult with certified experts before making any investment decisions.