Wagons Learning Launches IPO Amidst Cautious Market Sentiment
The highly anticipated initial public offering (IPO) of Wagons Learning commenced its subscription phase on May 2, aiming to secure ₹38.38 crore through a book-building approach. Despite the initial excitement, the launch has seen a tepid response, reflecting a subdued sentiment in the grey market.
IPO Subscription Status
As of 2 PM on the inaugural day, the Wagons Learning IPO witnessed a subscription rate of just 0.02 times. Here’s a breakdown of the subscriptions:
- Retail Investors: Subscribed 0.03 times
- Non-Institutional Investors: Subscribed 0.01 times
- Qualified Institutional Buyers: No bids received yet
This lukewarm response raises concerns for potential investors as the bidding period extends until May 6.
Key Details of Wagons Learning IPO
This three-day offer comprises both a fresh issue of shares and an offer for sale. The specifics include:
- Fresh Shares: 30.80 lakh shares worth ₹25.26 crore
- Offer for Sale: 16 lakh shares totaling ₹13.12 crore
The IPO price range is set between ₹78 and ₹82 per share, requiring a minimum investment of ₹1,24,800 for retail participants, with a lot size of 1600 shares.
Purpose of Fundraising
Wagons Learning intends to utilize the capital raised for various strategic needs, including:
- Meeting working capital requirements
- Pre-paying or repaying certain outstanding loans
- General corporate purposes
Grey Market Premium Insights
Currently, the grey market premium (GMP) for the Wagons Learning IPO stands at -₹2, indicating that shares are expected to trade at a discount compared to the issue price of ₹82. At this rate, the shares might debut at around ₹80, reflecting a 2.44% decline from the offered price.
Important Dates for Investors
- IPO Allotment Date: Expected on May 7
- Shares Credit to Demat Accounts: Anticipated by May 8
- Market Listing: Scheduled for May 9 on the BSE SME platform
About Wagons Learning
Wagons Learning specializes in corporate training, digital learning, and skill development solutions, primarily focusing on a B2B model. The company has successfully trained over 550,000 professionals through various formats, including classroom settings, virtual sessions, and digital modules. In addition to its operations in India, Wagons Learning also extends its services to Dubai.
Management and Support
The book-running lead manager for this IPO is Khandwala Securities, while Cameo Corporate Services Limited acts as the registrar. Rikhav Securities is designated as the market maker for this offering.
As the IPO progresses, investors are advised to closely monitor the subscription rates and market sentiment to make informed decisions. For more updates on upcoming IPOs and market trends, stay tuned!
