Moneycontrol Be a Pro
Get App
you are here: HomeNewsBusinessIPO
Last Updated : Nov 10, 2015 04:58 PM IST | Source: Moneycontrol.com

IndiGo owner InterGlobe lists at Rs 868, jumps 18%

The public issue was priced at Rs 700-765. Though the issue was over-subscribed 6.15 times, retail participation was tepid. The company has raised Rs 832 crore from anchor investors by allotting shares at the upper limit of price band at Rs 765 apiece.


Moneycontrol Bureau

IndiGo's owner InterGlobe Aviation saw a stellar listing on Dalal Street Tuesday. The stock opened at Rs 868 per share on the NSE, up 13 percent from issue price. On an intraday basis, the stock jumped 18 percent. The company which owns the low-budget airline raised Rs 3008.5 crore at the issue price of Rs 765 per share from its IPO.


The public issue was priced at Rs 700-765. Though the issue was over-subscribed 6.15 times, retail participation was tepid. The company has raised Rs 832 crore from anchor investors by allotting shares at the upper limit of price band at Rs 765 apiece.


The demand for the stock will remain on a higher side at premium amount post  listing, says Deven Choksey KRChoksey Investment Managers.

Close

However, SP Tulsian expects higher returns from IndiGo's competitors, SpiceJet and Jet Airways. Tulsian says that though the listing has been fabulous, he would wait to see how the stock performs in future. 


Meanwhile, proceeds from fresh issue will be used to retire certain outstanding lease liabilities and consequent acquisition of aircraft Rs 1165.6 crore, purchase of ground support equipment for airline operations. The company proposes to deploy an aggregate amount of Rs 33.4 crore towards purchase of certain ground support equipment for airline operations, such as ramp coaches, tractors, ground power units and push-backs.


According to the DGCA, Indigo enjoyed 33. 8 percent market share of domestic passenger volume for fiscal 2015. As of April 2015, it has 96 aircrafts.


In April-June quarter, IndiGo posted a net profit of Rs 640.44 crore. During the same period, total revenues stood at Rs 4,317.19 crore. For the year ended March 2015, the carrier recorded a net profit of Rs 1,295.58 crore on revenues of Rs 14,309.14 crore. As of December 31, 2014, it had a total indebtedness of Rs 4,002.8 crore and Rs 2,474.6 crore of net debt (net of free cash of Rs 1528.2 crore)


Its net worth fell to a negative Rs 139.39 crore at the end of June 2015. The company has attributed this to payment of interim dividend. Net worth of the company was Rs 426.22 crore as of March 31, 2015.

Posted by Nasrin Sultana



The Great Diwali Discount!
Unlock 75% more savings this festive season. Get Moneycontrol Pro for a year for Rs 289 only.
Coupon code: DIWALI. Offer valid till 10th November, 2019 .
First Published on Nov 10, 2015 10:00 am
Loading...
Sections
Follow us on
Available On
PCI DSS Compliant