Shares of Avenue Supermarts, which got listed on the stock exchanges on Tuesday, marked the best debut in the secondary market in nearly 12 years, reports Yoosef KP in Mumbai. After opening at R604.4 or over 102% higher on the BSE, shares of the parent company of D-Mart stores strengthened further to end the day at R640.75, a gain of over 114% compared with the issue price of R299 per share.
After the stellar debut, Avenue Supermarts now commands a market capitalisation of R39,998 crore — more than the combined market value of four of its rivals, Future Retail, Aditya Birla Fashion, Trent and Future Consumer. In the process, veteran investor Radhakishan Damani, the man behind D-Mart, saw his net worth overtake that of several of the big names of India Inc. n Continued on Page 2
D-Mart, India’s most profitable supermarket chain, had said that the money raised via the offering will be used to retire some of the company’s debt, purchase fit-outs for new stores and general corporate purposes.
The company reported a CAGR of 37% in its revenues in last three years which stood at Rs 8,588 crore in FY16 and its consolidated profit after tax for the period grew at a CAGR of 51% to Rs 321.20 crore in FY-16.