Skip to content
TechVibe

TechVibe

  • Home
  • Web3
  • Technology
  • Health
  • Business
  • Sports
    • Cricket
    • Football
  • Press Release
  • Contact Us
  • Toggle search form

38% of Cello World’s ₹1,900 crore IPO subscribed on the first day

Posted on October 30, 2023 By Haley Bennett

Consumer goods company Cello World’s initial public offer (IPO) was subscribed 38% on the first day, with the non-institutional investor (NII) portion almost fully subscribed and the retail portion at 35%. The IPO, which opened on October 30 and will close on November 1, aims to raise up to ₹1,900 crore through a complete offer for sale.

Cello World, a manufacturer, distributor, and seller of various consumer goods such as drinkware, insulated ware, dinnerware, serveware, and glassware, has a dominant market position in India. Its wide range of products and large off-take per retailer provide a distribution advantage. A report by BP Equities states that retailers prefer stocking Cello’s products due to the comprehensive range, allowing them to meet diverse customer demands through a single brand.

However, the company faces risks such as fluctuations in raw material prices, especially plastic granules and polymer prices, as well as potential supply chain issues. It also doesn’t hold trademarks for its key brands, such as ‘Cello’, ‘Unomax’, ‘Kleeno’, and ‘Puro’. Another competitor also uses the ‘Cello’ brand name for its writing instruments business. Any adverse impact on Cello’s brand name due to competitors’ actions may negatively affect its reputation and business. The company’s margins and profitability depend on maintaining its existing capacity utilization rate.

Despite these risks, a report by Geojit highlights the growth opportunities in the branded consumerware market in India. Factors such as consumer awareness towards safety and quality, shorter replacement cycles, the increasing focus on product aesthetics, loyalty to established brands, rising disposable income, and changes in family structures contribute to the market’s growth. Geojit gives Cello World a ‘Subscribe’ rating for the IPO on a long-term basis.

Choice Broking also recognizes Cello World’s dominant market position and growth potential. However, they assign a ‘Subscribe with Caution’ rating for the IPO due to its high pricing.

In terms of subscription, the IPO received bids from non-institutional investors, while retail investors showed fair demand. The IPO is scheduled to close on November 1. The price band is set at ₹617 to ₹648, and investors can bid for a minimum of 23 shares and in multiples thereof.

Before the IPO, Cello World raised ₹567 crore from anchor investors. It is important to note that the IPO is solely an offer for sale, and the company will not receive any proceeds from it.

Source: BSE

Related Articles:
– Wine vs Tea: India’s consumption trends show a sharp divergence
– This FMCG scion is all set to gain a windfall from Honasa Consumer IPO

Haley Bennett

I have over 10 years of experience in the cryptocurrency industry and I have been on the list of the top authors on LinkedIn for the past 5 years. I have a wealth of knowledge to share with my readers, and my goal is to help them navigate the ever-changing world of cryptocurrencies.

Business Tags:cello world, cello world anchor investors, cello world ipo, cello world lot size, cello world price band

Post navigation

Previous Post: Who holds the title of India’s most successful bowler in the history of the Cricket World Cup ODIs?
Next Post: Early reports indicate that Lionel Messi, the star player for Inter Miami and Argentina, is set to win his eighth Ballon d’Or in 2023.

Related Posts

Completion of anti-collision system Kavach in Delhi-Kolkata and Delhi-Mumbai corridors expected in 2024-25. Business
Starting January 1, health insurance information will be provided in an easily understandable and clear format. Business
Rephrase the title:Thrissur, Nagpur & Coimbatore based companies see their fortunes swell Business
IREDA IPO set to commence on November 21 with price range set at ₹30-32 per share Business
Rephrase the title:Pakistan faces high inflation ahead of Ramadan's festive month Business
Rephrase the title:Fiscal deficit target of 5.1% ambitious but achievable: Finance Secretary Business

Recent Posts

  • Robin Open Social-Fi: Revolutionizes Gaming with Innovative Integration and Global Partnerships
  • $GUMMY Set to Launch New Meta On Staking on Solana
  • BinoStake.io: Transforming Crypto Investments On BNB Chain with Liquid Staking Solutions
  • Mocaverse to Develop Decentralized Social Layer
  • Expansion of Web3 Fueled by Hong Kong’s Financial Secretary

Categories

  • Business
  • Cricket
  • Football
  • Health
  • Press Release
  • Technology
  • Web3

About Us

Welcome to TechVibe9, where the rhythm of technology meets innovation! We are a group of tech enthusiasts on a mission to uncover and showcase the latest in the tech world.

Mail Us : support@techvibe9.com

Latest Post

  • Robin Open Social-Fi: Revolutionizes Gaming with Innovative Integration and Global Partnerships
  • $GUMMY Set to Launch New Meta On Staking on Solana
  • BinoStake.io: Transforming Crypto Investments On BNB Chain with Liquid Staking Solutions

Helpful Links

  • About Us
  • Contact Us
  • Privacy Policy
  • Terms & Conditions

Copyright © TechVibe9

Powered by PressBook Masonry Dark