Cricket legend Sachin Tendulkar, along with Harsh Mariwala, Ranjan Pai, and Kanwaljit Singh, turned profitable on their investments in FirstCry after the company’s strong listing on 12 August at Rs 651. These major investors initially faced a 10 percent loss on their FirstCry shares after the IPO price band was set at Rs 440-465.
FirstCry stock closed at Rs 673.45 on listing day, a 45 percent premium over its issue price, giving Sachin Tendulkar and other investors a 38 percent gain from their buying price of Rs 487.44. They continue to hold shares in the firm.
Sachin Tendulkar's investment in FirstCry has risen to Rs13.82 crore following the listing, up from the initial investment of Rs9.99 crore.
Former Tata Sons chairman Ratan Tata held 77,900 shares of FirstCry pre-IPO, acquired at an average price of Rs 84.72 per share. He was listed as the selling shareholder, though it’s unclear how much he sold.
At the upper end of the IPO price, Ratan Tata earned 5 times returns on his investment; and if he continues to hold any shares, then at the listing price, he would have earned 7 times return.
Similarly, Mahindra & Mahindra, owning an 11 percent stake with shares bought at Rs 77.96 each, anticipates nearly a 7-fold increase in the value of its holdings. M&M sold 28.06 lakh shares in the offer for sale (OFS). Following this sale, M&M now holds 5.05 crore shares, valued at Rs 3,403 crore based on FirstCry's closing price today -- a significant increase from its initial investment of Rs 389 crore.
Last year, SoftBank and FirstCry founder Supam Maheshwari sold part of their holdings. Maheshwari, who currently holds a 5.95 percent stake in the company, sold shares worth Rs 300 crore during the pre-IPO round in 2023.
At that time, Sachin Tendulkar and his wife Anjali acquired over 2 lakh shares in FirstCry, while Mariwala’s family office Sharp Ventures bought 20.5 lakh shares. Ranjan Pai’s family office purchased 51.3 lakh shares, Kanwaljit Singh bought 307,730 shares, Infosys co-founder Kris Gopalakrishnan’s family office acquired 615,460 shares, and DSP founder Hemendra Kothari purchased 820,614 shares.
The IPO included a fresh issue of Rs 1,666 crore, with the offer for sale valued at Rs 2,527.72 crore at the upper end of the price band. This brought the total issue size to Rs 4,187.72 crore and the company's market cap to Rs 34,964 crore.
FirstCry's parent company BrainBees initially filed draft IPO papers with SEBI last December. However, FirstCry withdrew the draft after SEBI requested more clarity on key performance indicators (KPIs). SEBI had asked for 25 KPIs, but FirstCry initially provided only 5-6 in its first filing, according to sources cited by Moneycontrol.
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