Wakefit Innovations Hits the Market with Robust IPO

Wakefit Innovations Ltd launched its IPO, receiving 15% subscription on the first day. The Rs 1,289-crore issue includes a fresh issue and an offer-for-sale. Proceeds will fund store expansions, equipment purchase, and marketing. The company aims to strengthen its presence in the home furnishings sector.

On Monday, the IPO of home furnishings giant Wakefit Innovations Ltd saw a modest start with a 15% subscription on its first day. This Rs 1,289-crore offering comprises both fresh issue and offer-for-sale components, attracting bids for 55,12,584 shares against the 3,63,53,276 shares available.

Retail investors showed more enthusiasm, subscribing to 73% of their quota, while non-institutional investors accounted for a lesser 7% take-up. Notably, qualified institutional buyers stayed on the sidelines initially. The company had previously garnered attention with investments totaling Rs 186 crore from major players like Steadview Capital and WhiteOak Capital.

Wakefit aims to deploy Rs 377.18 crore from fresh issue proceeds into expanding its retail footprint and enhancing market visibility with a major chunk earmarked for marketing efforts. Having reported significant earnings and operational scale, Wakefit is poised for its December 15 stock market debut, cementing its place in the bustling home furnishings industry.

(With inputs from agencies.)