Ethos IPO Listing: shares make weak debut on bourses; list at 6% discount on NSE

Ethos IPO Listing: Shares of Luxury and premium watch retail player Ethos made a weak debut on the exchanges, NSE and BSE, on Monday. Ethos shares were listed at Rs 830 apiece on the BSE. It was a discount of Rs 48 or 5.47% at the upper end of the price band. The company has set a price band of Rs 836-878 a share for this issue. On the NSE, shares were listed at six per cent discount to Rs 825 per share, below Rs 53 or 6.04% on the issue price.  

Earlier, Zee Business Managing Editor Anil Singhvi had said the issue will see a flat listing a debut around its upper price band of Rs 878.  

Aayush Agrawal, Senior Analyst, Swastika Investmart Ltd, also said that he expects a tepid listing because of expensive valuations. But any positive surprise can't be ruled out amid improved market sentiments, he had said.  

The three-day initial public offer of Ethos, which had closed on May 20, was subscribed 1.04 times on the last day.  

Listing Ceremony of Ethos Limited begins with auspicious lamp lighting on 30th May, 2022 at @BSEIndia @ethoswatches pic.twitter.com/QO2rAjY3wg

— BSE India (@BSEIndia) May 30, 2022

The IPO which opened for subscription on Wednesday, May 18, 2022, aimed to raise Rs 472.3 crore at the upper end of the price band. The IPO comprises fresh issue of equity shares aggregating to Rs 375 crore and an Offer-For-Sale (OFS) of up to 1,108,037 equity shares. The public issue had set a price band of Rs 836-878 a share for this issue. Investors were allowed to bid for a minimum of 17 equity shares and in multiples of 17 thereafter.   

https://t.co/494R9RPi74

— BSE India (@BSEIndia) May 30, 2022

Earlier, the company had garnered Rs 142 crore from anchor investors ahead of its initial share sale. 

ICICI Prudential Mutual Fund, Jupiter India Fund, Saint Capital Fund, Nomura Singapore and UPS Group Trust were among the anchor investors. 

The Initial Public Offering (IPO) comprised a fresh issue of equity shares aggregating to Rs 375 crore and an Offer-For-Sale (OFS) of up to 1,108,037 equity shares. 

The company aims to use proceeds from the fresh issuance for repayment of debt, funding working capital requirements, opening new stores and general corporate purposes. 

Ethos has the largest portfolio of premium and luxury watches in India and retails 50 premium and luxury watch brands like Omega, IWC Schaffhausen, Jaeger LeCoultre, Panerai, Bvlgari, H. Moser & Cie, Rado, Longines, Baume & Mercier, Oris SA, Corum, Carl F Bucherer, Tissot, Raymond Weil, Louis Moinet and Balmain.