Speciality Restaurants tests volatile mkt with Rs 182cr IPO

Moneycontrol Bureau

Speciality Restaurants  will test turbulent waters this week with its planned initial public offering of shares to raise around Rs 182 crore (at the higher end of its price band). The company, promoted by Anjan Chatterjee and Suchhanda Chatterjee, has set a price band of Rs 146-155 a share for its 11.74 million share IPO.  It plans to use the proceeds to expand its restaurants footprint, develop a food plaza and repay a term loan, according to its draft red herring prospectus. The issue will open on May 16 and close on May 18. Speciality Restaurants runs popular restaurants like Mainland China, Oh Calcutta and Sigree. But will its IPO tempt the street in the current volatility is a things to watch as the issue comes amid turbulent times for IPOs.  Samvardhana Motherson Finance was the most recent casualty, it deferred its Rs 1,665 crore offer, which had opened on May 2. Seven other public offers have hit the street since November. But barring MT Educare, which has gained 17%, most others are trading well below their issue price. Even MCX India, the biggest IPO so far in 2012, is trading 2% below its issue price.  Some others like Indo Thai Securities, which listed in November, is down as much as 86%, while Public sector enterprise NBCC is down 18%,  since it hit the street last month.