Jubilant Foodworks Delivers Big Time,66% Premium

Of all the equity market coverage that has happened on the blog, i think the posts related to IPO’s have been bang on.

First it was the Cox&Kings IPO which dazzled on debut closing at a 28% premium and now it is the Jubilant Foodworks IPO that has been outstanding on the very first day of listing.

As discussed in the earlier post on Jubilant Foodworks IPO , being in unique food delivery business, there were positive vibes both from the retail and institutional investor.But, the performance of Jubilant Foodworks has been phenomenal.

Jubilant Foodworks share closed at Rs 240.60, at a 65.93% premium over its issue price of Rs 145 on the NSE. It touched an intraday high of Rs 240.90 and low of Rs 160.

Jubilant Foodworks is for the initiated into the food delivery business and have a 25 year exclusivity contract with Domnio’s Pizza.The consumption of pizza in India is very low and Jubilant is betting on expanding the chain to serve more customers.

The stock witnessed volume of 5,69,63,373 shares and saw a turnover of Rs 1,171.50 crore.

The interesting part of Jubilant Foodworks listing comes from the fact that it managed to close at such a high premium even when the overall markets were pretty much flat.

The Indian Stock Markets have witnessed quite a few successful IPO listings for sometime now.Wonder if the golden period of IPO’s is indeed back.

What do you think? Is IPO market looking all bright now.

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