Nykaa IPO — Today is the last day to subscribe, grey market premium at ₹700

• The retail investors have subscribed to Nykaa’s IPO 2.61 times, according to the stock exchange.
• Nykaa IPO’s allotment will be announced on November 8, on the stock exchange on November 11.
• It also plans to increase its international presence by foraying into the Middle East as well as the United Kingdom.

Fashion and beauty ecommerce platform Nykaa’s initial public offering (IPO) has been subscribed 1.73 times so far. The company launched its public issue on October 28, at a price band of ₹1,085 to ₹1,125.

The IPO lot size was set up at 12 shares.

The company received high demand from retail investors, who had fully subscribed to the IPO within an hour of the issue opening on October 28. The retail investors have subscribed to Nykaa’s IPO 2.61 times, according to the stock exchange.

Qualified institutional buyers (QIB) have subscribed to the IPO by 41% and non-institutional investors have subscribed 32% times. Overall, the IPO was subscribed 1.73 times.

Moreover, shares of Nykaa are reportedly commanding a strong premium of ₹700, in the grey market, from its price band of ₹1,085 to ₹1,125 per share.

Nykaa IPO’s allotment will be announced on November 8, on the stock exchange on November 11.

Nykaa — which comes under FSN E-commerce Ventures — intends to raise ₹5,352 crore. Nearly ₹630 crore will be raised through fresh issue of shares. About 17 investors would sell 4.3 crore equity shares as part of this IPO.

According to Nykaa’s red herring prospectus, the beauty and fashion ecommerce platform intends to use this capital for acquisition of customers as well as new businesses. It also plans to increase its international presence by foraying into the Middle East as well as the United Kingdom, before stepping into Europe.

Nykaa also plans to set up more retail stores and warehouses to promote its ecommerce business.

The company posted a net profit of Rs 61.9 crore in FY21, as its income stood at ₹2,452 crore.

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