Lawsikho stock lists at 121% premium over IPO price on NSE SME
The stock of Lawsikho parent Addictive Learning Technology made a bumper debut, listing at a 121.4 percent premium over the IPO price on January 30 on the NSE SME platform, opening at Rs 310 against the issue price of Rs 140.
Ahead of the listing, Lawsikho shares were trading at a 125 percent premium in the grey market, which is an unofficial ecosystem where shares start trading before the allotment in the IPO and until the listing day. Most investors track the grey market premium (GMP) to get an idea of the listing price.
The bumper listing was on the back of strong subscription figures. The offer was subscribed 273 times, the retail portion was booked 301 times, high net worth individuals bid 414 times and qualified institutional buyers picked 116 times the allotted quota.
Lawsikho’s public offer opened for subscription on January 19 and closed on January 24. The price band for the issue was fixed at Rs 133-140 per share. Through the IPO, the company raised Rs 60.16 crore. The offer comprised a fresh issue of 41.37 lakh shares worth Rs 57.92 crore and an offer-for-sale of 1.6 lakh shares totalling Rs 2.24 crore.
The IPO proceeds will be used to meet expenses related to unidentified and identified acquisitions, investment in technology, development of new courses, branding and marketing and to meet the working capital requirements of the company. The remaining funds will be used for general corporate purposes.
Narnolia Financial Services was the book-running lead manager of the Lawsikho IPO, while Maashitla Securities was the registrar. The market makers for the issue were SS Corporate Securities and Prabhat Financial Services. Ramanuj Mukherjee and Abhyudaya Sunil Agarwal are the promoters of the company.
Addictive Learning Technology is a professional upskilling and career services edtech platform that caters primarily to senior, mid-career and young professionals. The company offers upskilling courses and training programs which include law, finance, compliance, human resources, business consulting, artificial intelligence, content writing and data science through three brands LawSikho, Skill Arbitrage and Dataisgood.