The allotment status of the Rs 810-crore initial public offering (IPO) of Burger King India, which closed last week, will be announced today on Wednesday, December 9.
The IPO of the private equity firm Everstone Group-promoted company had received an overwhelming response from retail investors and got oversubscribed within few hours of opening on the very first day of the share sale. It received 156.6 times subscription than the total issue size.
Quick service restaurant (QSR) Burger King's issue that received the second-highest subscription in 2020, was open from Wednesday, December 2, 2020 to Friday, December 4, 2020.
The grey market premium (GMP) for the stock has shot up to 40% of the IPO price. According to dealers in the grey market, the grey market premium is reflecting at Rs 43-45 per share. In a price band of Rs 59 to Rs 60, shares of the issue were available in a lot size of 250 shares and thereof.
Those who had bid for the issue can check the subscription status either on the online portal of Link Intime, the registrar to the issue or the BSE website.
Post allotment, shares will be listed on BSE and NSE. Burger King listing is likely by December 14. The issue constitutes 35.37% of the post issue paid-up capital of the company.
Here's how to check Burger King IPO allotment status
On Link Intime
- Go to the online portal of Link Intime
-Click on the drop-down menu and select the company name like Burger King in the drop-down menu of the investor's centre section.
- Enter your Permanent Account Numbers (PAN) or application number or Client ID.
- After entering the given captcha code, investors can click on the submit button and view their allotment status.
Applicants can also check their IPO allotment status on the BSE website
-Select Equity and then from the dropdown, select issue name "Burger King"
-Enter your Permanent Account Numbers (PAN) or application number and click Search
Through the application status, investors can see the number of shares subscribed during the IPO, and the shares allotted on the page.
As per data available on the stock exchange, the IPO on its third day received bids for 1,166 crore equity shares (156.65 times) against an IPO size of 7.45 crore equity shares. The portion meant for qualified institutional buyers (QIBs) was subscribed 86.64 times, non-institutional investors 354.11 times, and retail individual investors (RIIs) 68.15 times. The company had reserved 75% of the issue for QIBs, 15% for HNIs, and 10% for retail investors.
The fourteenth IPO of this year received subscription 9.38 times the issue size on the second day of bidding.
Despite a volatile market, the IPO of the quick-service restaurant chain became among the six IPOs that were fully subscribed on Day 1. Retail investors lapped up the IPO with their reserved portion subscribed 15.54 times on Day 1. Meanwhile, Happiest Minds received 14.6 times and Chemcon Speciality Chemicals received 9.8 times.
As of September 2020, the company had 261 restaurants including eight sub-franchised Burger King Restaurants across 17 states and union territories and 57 cities across India, as per the addendum to the draft red herring prospectus (DRHP). It targets to increase restaurant count to 700 by December 2026.
Burger King India submitted its draft papers for IPO with SEBI in November and received approval from the market watchdog in January this year. Fundraising through the IPO will largely be utilised for repaying a portion of its existing debt, meet the general corporate purpose, and expanding its store base in India. BKIL is looking for a market cap of approximately Rs 2,290 crore post this issue.
Burger King India Limited (BKIL), the national master franchisee of the Burger King brand in the country, is one of the fastest-growing international Quick Service Restaurants (QSR) chains in India with 261 stores as of September 20. BKIL has a 5% market share in India's Rs 34,800 crore QSR market.
As per offer documents, BKIL has shown Jubilant Foodworks and Westlife Developments as its listed peers. Domino's total outlet count in India is 1,354, followed by Subway (54), McDonald's (481), KFC (454), Wow! Momo (317), and Burger King (261).