Amazing response to Campus Activewear IPO, fully subscribed on Day 1

New Delhi. The IPO of Casual Shoes maker Campus Activewear has received a great response on the first day. As per BSE data, the issue is fully subscribed on the very first day of opening. The company is selling its shares in the range of Rs 278-292. Offer closes on Thursday, April 28, 2022.

According to BSE, the campus had offered 3,36,25,000 equity shares. Whereas the company has received 3,93,04,782 equity shares or 1.17 times more bids till 4.30 pm on the first day of the issue. The share of retail investors has been subscribed 1.81 times so far. While the share of non-institutional investors received 1.14 times the bids. The share of eligible institutional investors is subscribed at 9 per cent. Whereas 64% bids have been received in the share of employees.

Campus Activewear IPO: Lot Size

The company will raise Rs 1,400 crore through this issue, which is entirely an offer-for-sale (OFS) from the promoters and existing shareholders of the company. They will sell 4,79,50,000 shares in the OFS with a face value of Rs 5. Please note that the company will not get any proceeds from the issue.

Campus Activewear IPO: Listing & Allotment Date

The allotment of IPO shares will be finalized on May 4, while refunds will start from May 5. The shares will be credited in the demat accounts on May 6. The IPO listing is likely to happen by May 9.

Company’s portfolio

Campus Activewear is headquartered in Delhi. The company started in 1995 as an offshoot of Action Shoes. In 2005, the promoters of the company completely separated it from the action and established it as a new brand. This company manufactures a wide variety of footwear like shoes, floaters, slippers, flip flops and sandals in many colors and styles at affordable prices. Campus Activewear sells its products through online platforms and offline stores. It has a pan-India business distribution network with over 400 distributors in 28 states and 625 cities. The company also has 18,200 retailers across India.

Campus Activewear IPO: Financials

The company reported a net profit of Rs 26.86 crore in the financial 2020-21, which is 57 per cent lower than the bottomline of Rs 62.37 crore in the previous year. According to the company, this reduction in profit has come due to the Corona lockdown. Revenue declined by nearly 3 per cent to Rs 715.08 crore during this period. For the nine months ended December 31, 2021, the company reported a net profit of Rs 84.80 crore with total revenue of Rs 843.94 crore.

Campus Activewear IPO: Positives in the Gray Market

The gray market trend ahead of the IPO is looking quite positive. Today the GMP of the campus is Rs 60. A day ago the GMP of the campus was Rs 53. That is, the company’s performance in the gray market has been good so far. Market watchers say today’s Campus IPO GMP is priced at Rs 60. Which is Rs 7 more than yesterday. Prices in the gray market have seen a jump of 18 to 20 per cent in the last three days. This shows that the IPO will get good customers.

These investors came in the single round

According to BSE data, investors participating in the anchor round included Abu Dhabi Investment Authority, Fidelity Funds, Nomura, Societe Generale, BNP Paribas Arbitrage and Goldman Sachs (Singapore) and several domestic mutual funds.