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Thumbs down: Coffee Day ends 17% lower on listing day

Thumbs down: Coffee Day ends 17% lower on listing day

On National Stock Exchange (NSE), the stock opened at Rs 317 per share and hit an intraday low of Rs 280.50, down 11.51 per cent.

Photo: Reuters Photo: Reuters

Shares of Coffee Day Enterprise, which runs Cafe Coffee Day (CCD) outlets, listed on Bombay Stock Exchange (BSE) in Monday's trade at Rs 313 per share, a discount of 4.57 per cent to the issue price of Rs 328 per share.  

Dalal Street did not welcome the much-touted Coffe Day scrip well, and it plunged 17.63 per cent on BSE against the issue price, while the stock ended 13.69 per cent down at Rs 270.15 against its listing price.

On National Stock Exchange (NSE), the stock opened at Rs 317 per share and settled the day 14.51 per cent down at Rs 271.

The company's Rs 1,150-crore initial public offering (IPO) was the biggest in nearly three years when it hit the market, but now it has been overtaken by Indigo's Rs 3,018 crore IPO.


The IPO, which was opened for subscription during October 14-16, was subscribed 1.64 times at price band of Rs 316-328 a share.

The company competes with global giant Starbucks in the fast-growing Indian consumer market.

Coffee Day Enterprises had raised over Rs 334 crore from anchor investors ahead of the IPO, while in March, the firm had mobilised Rs 100 crore in a pre-IPO funding from Nandan Nilekani and Rare Enterprises (owned by Rakesh Jhunjhunwala and Ramesh Damani), among others.

Coffee Day Enterprises is the parent company of Coffee Day Group and operates coffee business through a subsidiary, Coffee Day Global Ltd (earlier known as Amalgamated Bean Coffee Trading Company Limited) and its subsidiaries.

(With inputs from PTI)