Nykaa shares opened for trading at Rs 2,018 on the National Stock Exchange.
FSN Ecommerce Ventures, the parent of e-commerce beauty giant, Nykaa made a stellar stock market debut on Wednesday with its market capitalization crossing Rs 1 lakh crore. Nykaa shares opened for trading at Rs 2,018 on the National Stock Exchange, up 79 per cent from its issue price of Rs 1,125 per share. On the BSE, Nykaa shares opened for trading at Rs 2,001, up 78 per cent from the issue price. Nykaa shares rose as much as 89 per cent to hit an intraday high of Rs 2,129 on the NSE. With the surge in share price, Nykaa’s market capitalization crossed Rs 1 lakh crore at the day’s highest level.
Nykaa’s three-day share sale via initial public offering (IPO), which closed on November 1, saw huge demand for shares as the offer was subscribed 82 times. The IPO of FSN E-Commerce Ventures Limited received bids for 2,16,59,47,080 shares against 2,64,85,479 shares on offer and raised Rs 5,352 crore through the issue.
Nykaa’s IPO consisted of fresh issue of Rs 630 crore and an offer for sale worth Rs 4,722 crore. At the upper end of the price band one lot of 12 Nykaa shares in the IPO costed Rs 13,500.
Nykaa’s IPO is the latest in a year which has seen over 40 companies list on the domestic stock exchanges, the highest amount since at least 2016, as firms attempt to cash in on a market that has scaled record highs on the back of a decline in COVID-19 cases, a re-opening of the economy and ample liquidity.
Nykaa was founded by former investment banker Falguni Nayar who in past was Managing Director of Kotak Mahindra Capital Company. She is currently on board of Aviva Insurance, Dabur India and as an independent member on the Tata Motors Board.
Launched in 2012, Nykaa grew popular by selling cosmetics and grooming products on its website, apps and through its physical stores, before expanding into fashion, pet care and household supplies. Its investors include film actresses Alia Bhatt and Katrina Kaif.
As of 10:24 am, Nykaa shares traded 82 per cent higher, from issue price, at Rs 2,049.
