InvestorQ : How do you see the listing of Burger King IPO when it lists next week on 14 December?
Deepa Salunkhe made post

How do you see the listing of Burger King IPO when it lists next week on 14 December?

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Arya Nanda answered.
6 months ago
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Burger King, one of India’s leading QSR or quick service restaurant brand, is expecting a strong debut when it lists on Monday, December 14. The shares have been trading at a premium of around 75% in the GMP. While the shares were issued at Rs.60, the indicative listing price in the GMP is closer to Rs.105.

Even this premium had jumped sharply in the last one week from Rs.25 to Rs.45 and the 157 times oversubscription of the IPO only served to accentuate the aura around the stock. The company had come out with an IPO of Rs.810-crore which included a fresh issue as well as an offer for sale also.

It may be recollected that the retail portion was subscribed 68.15 times, QIB portion was subscribed 86.64 times and non-institutional portion was at 354.11 times. Burger is globally the second largest brand after McDonalds. It aims to increase the number of QSRs in India from the current 261 to over 700 over the next 3 years.

In terms of pricing, Burger King is relatively cheaper compared to Jubilant Foods which owns the Pizza Hut franchise.


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