The basis of allotment for the Mrs. Bector's Food IPO has been finalized. The biscuits and bakery products maker will likely debut on bourses on Dec. 28 after receiving a massive response from investors for its initial public offering. Here’s how you can check the allotment status.
The Rs 540-crore public issue for Mrs. Bector's Foods was subscribed 198 times. It was one of the highest subscribed IPO in calendar year 2020.
Details about the Mrs. Bector's Food IPO
The IPO for Mrs. Bector's Food was subscribed 621 times by NII (non-institutional investors) and 177 times by QIB (qualified institutional buyers) from Dec. 15 to Dec. 17. The retail demand for the IPO was strong as well and garnered 29 times subscription. In a price band of Rs 286 to Rs 288, the shares of the issue were available in a lot size of 50 shares.
Mrs. Bector's Food IPO consisted of a fresh issue of Rs 40-crore and an offer for sale of around Rs 500-crore by existing shareholders. The company is going to use fresh issue proceeds for its general corporate purposes and to finance the cost of the Rajpura Expansion Project. SBI Capital Markets, IIFL Securities, and ICICI Securities were the offer managers.
Mrs. Bector's Food manufactures bakery products under the “English Oven” brand, while its biscuits are manufactured under its “Cremica” brand. The company operated in the premium and mid-premium range of bakery and biscuits segments in North India. Mrs. Bector's also supplies buns to quick-service restaurant chains like Burger King, KFC, and McDonald’s. The company’s revenue from operations rose from Rs 690-crore in fiscal 2018 to Rs 762-crore in fiscal 2020.
How an IPO allotment works
If the total number of applications made by investors is lower than or equal to the issue size, then a complete allotment of shares will take place. As a result, every investor who applied will be allocated shares. However, in the case of large oversubscription in the retail category, the allotment is done through a computerized lottery to pick applicants for IPO allotment.
How to check Mrs. Bector's Food IPO allotment status
Link Intime India Private Ltd. is the registrar of Mrs. Bector's Food issue and will manage share allocations and refunds. Investors can check the allotment status on the registrar's website. Investors can select the company name in the drop-down menu and enter the application number, PAN (permanent account number), or client ID.
Investors can also check Mrs. Bector's Food IPO allotment status on the BSE website. Select Equity, and then from the drop-down menu select the issue name. Investors need to enter the PAN number and application number and then click Search.
When will Mrs. Bector's Food shares start trading?
Mrs. Bector's Food shares will likely get listed on BSE and NSE on Dec. 28. The GMP (grey market premium) for the stock has shot up to 62.5 percent of the IPO price. According to brokers in the grey market, the GMP is reflecting at Rs 175–180 per share.
How to buy Mrs. Bector's Food shares
To buy Mrs. Bector's Food shares, U.S. investors need to open a stock trading account with a registered broker that allows trading on Indian stock exchanges. For example, Interactive Brokers allows investors to buy or sell Indian stocks.