Mrs Bectors Food Specialities made a strong debut on the exchanges with the shares listing at Rs 500 apiece on the NSE, a premium of 73.61 percent to the issue price of Rs 288 per share.
The stock was listed with a premium of 73.95 percent at Rs 501 apiece on the BSE.
The Rs 540.54-crore public issue of the premium and mid-premium biscuits maker was subscribed 198.02 times during December 15-17, the highest subscription seen by IPO in 2020.
Mrs. Bectors 'Cremica’ is one of the leading biscuit brands in the premium and mid-premium segments across north India with a market share of 4.5 percent. The company caters to well-renowned brands such as PVR, Burger King and McDonald's and has a budding exports business contributing to 22 percent of its revenues.
Mrs Bectors Food raised Rs 40.54 crore via fresh issue and Rs 500 crore through the offer for sale by existing shareholders.
The company said it will utilise fresh issue proceeds for financing the project cost towards expansion of the Rajpura manufacturing facility by establishing a new production line for biscuits.
The company manufactures biscuits under the flagship brand 'Mrs. Bector's Cremica' and bakery products under the brand 'English Oven'.
Most brokerages had advised subscribing to the issue for listing gains given its attractive valuations as compared to peers. Strong financials and growth prospects will also help the firm in the near term, analysts added. However, stiff competition, higher dependency on the north Indian market for growth are key risks.