Gopal Snacks makes weak stock market debut, opens 13% lower

Gopal Snacks listing: Gopal Snacks shares made a weak stock market debut on Thursday, March 14. The stock opened for trading at Rs 350 on the BSE against its initial public offering (IPO) price of Rs 401, marking a decline of 12.72 per cent. On the National Stock Exchange, Gopal Snacks shares opened at Rs 351 and hit an intraday low of Rs 341.80, data from the stock exchange showed.

The stock, however, staged some recovery and was trading around Rs 376 by 10:04 am, but still remained below the IPO price.

Gopal Snacks shares were in very high demand during the three-day share sales via initial public offering (IPO) which ended on Monday, March 11 as the IPO was booked 9.5 times. The shares were in very high demand especially among the qualified institutional buyers (QIBs) as the pie set aside for them was booked 18.42 times, shares set aside for non-institutional investors was subscribed 10 times and portion set aside for retail investors was booked 4.22 times.

Gopal Snacks raised Rs 650 crore from the IPO which was purely an offer for sale. The company sold shares in price band of Rs 381-401 per share and a retail investor was allowed to bid for minimum one lot of 37 shares up to maximum of 13 lots. One lot of Gopal Snacks shares was priced at Rs 14,837 at the upper end of the price band.

The company raised Rs 194 crore from anchor investors ahead of the IPO.

Gopal Snacks is an FMCG company that deals in ethnic and Western snacks, and other products in India and internationally.

The company offers a variety of snack products including ethnic snacks like namkeen and gathiya, as well as western snacks such as wafers, extruded snacks, and snack pellets.

As of 10:20 am, Gopal Snacks shares traded 5.36 per cent lower from the IPO price at Rs 379.50.