Wakefit IPO: A Milestone in India's Home Furnishings Market

Wakefit Innovations Ltd's initial share sale was 39% subscribed by the second day, raising Rs 1,289 crore. While retail investors exceeded expectations, institutional buyers showed limited interest. Proceeds will help expand stores, invest in new equipment, and boost marketing efforts as Wakefit solidifies its market presence.

Wakefit Innovations Ltd's initial share sale reached 39% subscription on its second offering day, aiming to raise Rs 1,289 crore. The Rs 1,289-crore IPO received 1,41,81,448 bids against an offering of 3,63,53,276 shares, according to NSE data.

Retail investors showed strong interest, subscribing to 1.77 times their quota, while non-institutional investors reached 25% subscription. Institutional buyers demonstrated limited enthusiasm, bidding for only 12,616 out of 1,98,29,061 shares. Notable investors, including Steadview Capital, WhiteOak Capital, InfoEdge, and Temasek-backed Capital 2B, have invested Rs 186 crore through secondary market deals.

The IPO includes a fresh issue of Rs 377.18 crore and a Rs 912 crore offer-for-sale. Proceeds will fund new store setups, equipment purchases, rental expenditures, and marketing. Founded in 2016, Wakefit is a key player in India's home furnishings market, with a turnover exceeding Rs 1,000 crore by March 31, 2024.

(With inputs from agencies.)