Jubilant FoodWorks closes with 66% premium

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Jubilant FoodWorks , which runs Dominos fast food retail chain in India, has seen a sharp upmove on first day. The share closed at Rs 240.60, at a 65.93% premium over its issue price of Rs 145 on the NSE. It touched an intraday high of Rs 240.90 and low of Rs 160.

In an interview with CNBC-TV18, Jubilant's CEO Ajay Kaul said the company saw a lot of headroom for growth. "The consumption of pizzas in India is quite low - only about 2% of the overall food market. We are looking at expanding the market by improving penetration," Kaul said, adding that Domino's would increase the number of its stores aggressively.

The company's PAT margin stood at 9.7% in the third quarter while the fourth quarter would see a margin of over 10%, the CEO said.

Jubilant has a 25-year exclusivity agreement with Domino's for India and Kaul said it was the fastest growing franchisee in the world.

The stock witnessed volume of 5,69,63,373 shares and saw a turnover of Rs 1,171.50 crore.

On the BSE, the share touched an intraday high of Rs 241.95 and low of Rs 161.60, before closing at Rs 229, up 57.93%. It saw volume of 3,17,53,857 shares.

The company has raised Rs 328.72 crore from initial public offering (IPO) of 22,670,447 equity shares. The issue was oversubscribed 31.11 times. The price band for the issue was at Rs 135-145.