The initial public offering (IPO) of Fonebox Retail was oversubscribed at 117.89 on the second day. The issue received over 34.30 crore share bids against 29.1 lakh equity shares available for subscription.

The retail individual investors portion received 28.16 crore shares bids against the reserved quota while the non-institutional investors got over 5.92 crore share bids by 5 pm as per the data available on the NSE. Meanwhile, the qualified institutional buyers’ (QIB) portion received over 21.26 lakh share bids.

Fonebox Retail IPO anchor allotment

The company raised Rs 5.78 crore via anchor allotment in which 682,000 shares were allotted to NAV Capital VCC – NAV Capital Emerging Star Fund at a bid price of Rs 70 per share. The company also allotted 144,000 shares to LC Radiance Fund VCC.

Fonebox Retail IPO Issue size

The IPO is entirely a fresh issue of up to 29.1 lakh equity shares aggregating up to Rs 20.37 crore.

Fonebox Retail IPO Price band

The company is offering its shares at Rs 66-70 apiece, and investors can bid for 2,000 shares in one lot.

Fonebox Retail IPO GMP

The shares of Fonebox Retail were commanding a premium (GMP) of Rs 120 in the grey market.

Fonebox Retail IPO Issue Structure

The offer comprises a fresh issue of 29,10,000 shares with a face value of Rs 10 through the book-building route. As many as 1,378,000 equity shares have been reserved for the QIBs, including anchor reservation; 416,000 shares for the HNIs; 970,000 allocated for retail investors and the market maker quota accounts for 1,46,000 shares.

Fonebox Retail IPO Important Dates

The IPO opened on January 25 and will close on January 30. The anchor book opened on January 24. The basis of allotment will be finalised on January 31, Wednesday while initiation of refunds and transfer of shares to demat accounts are likely to be done on February 1, Thursday. The stock is expected to get listed on NSE Emerge on February 2, Friday.

About Fonebox Retail

The company sells smartphones and allied accessories from manufacturers like Vivo, Apple, Samsung, Oppo, Realme, Nokia, Narzo, Redmi, Motorola, LG and Micromax. The company also offers electronic goods like laptops, washing machines, smart TVs, air conditioners and refrigerators from popular brands, including TCL, Haier, Lloyd, Daikin, Voltas, Mi, Realme and OnePlus in its multi-brand stores across Gujarat.

The company operates a large network of 143 multi-brand outlets under three brand names — Fonebox, Fonebook and MyMobile — in more than 20 cities across Gujarat.

Fonebox Retail Promoters

Fonebox Retail is promoted by a group of dynamic and experienced entrepreneurs – Manishbhai Girishbhai Patel, Jigar Lallubhai Desai, Parth Lallubhai Desai, Jigneshkumar Dashrathlal Parekh and Amitkumar Gopalbhai Patel.

Fonebox Retail’s Financial Performance

The retailer posted a total revenue of Rs 139.75 crore and a profit (PAT) of Rs 1.55 crore in the first half of the current financial year ending September 30, 2023. Its revenue grew to Rs 195.82 crore in FY 2022-23, up from Rs 90.90 crore in the previous financial year. In FY2022-23, Fonebox Retail reported a profit (PAT) of Rs 1.59 crore, compared to Rs 12.79 Lakh in FY 2021-22.

Fonebox Retail’s objects of the offer

The net proceeds from the public offer will be used for its working capital requirements, for general corporate purposes and public issue expenses.

Fonebox Retail plans to invest Rs 13.5 crore to expand its retail store network to more cities in Gujarat. The company proposes to spend the remaining capital on acquiring land to build corporate headquarters, hiring human resources in marketing and technical departments, servicing repayment obligations under existing and future financing arrangements and funding future growth opportunities.

Fonebox Retail IPO Lead managers and Registrar

Beeline Capital Advisors Private Limited is the book-running lead manager, and KFIN Technologies Limited is the registrar of the Issue.

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