Ethos made a weak debut on Dalal Street as the luxury watch retailer traded at Rs 830, 5% below its issue price of Rs 878 on the BSE.
On the National Stock Exchange (NSE), the meter was trading at a 6% discount to Rs 825 from the quoted issue price.
A day before the listing, Ethos shares were changing hands at a marginal gray market premium, signalling the company's subdued listing.
Ethos raised Rs 472.29 crore through its main share sale which was open for subscription between 18th and 20th May as the company sold its shares in the range of Rs 836-878 a share.
The issue drew a total of 1.04 times, with QIB stock investors receiving 1.06 times the subscription, while HNI stock received 1.48 times the bids. The retail portion was only 84% booked.
Ethos is India's largest luxury and high-end watch retailer and operates on an omnichannel model, allowing customers to order products offline or online.
The watch portfolio includes 50 high-end brands, including Omega, IWC Schaffhausen, Jaeger LeCoultre, Panerai, Bvlgari, Rado, H. Moser & Cie, Longines, Baume & Mercier, Oris SA, Carl F. Bucherer, Tissot, Raymond Weil, Louis Moinet and Balmain.
The company has 50 physical retail stores in 17 cities in India. Ethos constantly has 7,000 different premium watches and 30,000 watches in stock. As of December 31, 2021, the Company's website had 21,844,216 visitor sessions.
Analysts were mixed on the issue. Some considered it a long-term investment, while others suggested avoiding an IPO given the high valuation the company demanded. The history of the company's slow growth also worked against this.
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