Nykaa extends gains after solid debut, shares trade at 89% premium over issue price

Nykaa shares extended gains after a stellar market debut on Wednesday. The stock of FSN E-Commerce Ventures - which runs the online marketplace for beauty and wellness products Nykaa - rose to as high as Rs 2,129 on stock exchanges BSE and NSE, having begun its secondary market journey at a premium of up to 79.4 percent.

: Nykaa shares make strong market debut, command huge premium over issue price

Nykaa's IPO received a robust response from investors. The public offer of FSN E-Commerce, which concluded on November 1, saw a subscription of 82 times. That made Nykaa's Rs 5,350-crore IPO the 14th best so far in 2021.

The portion reserved for qualified institutional investors (QIBs) was subscribed 92.2 times, and that for non-institutional investors 112.5 times. The quotas reserved for the retail investor and employee categories were subscribed 12.3  and 1.9 times respectively.

ALSO READ: Nykaa IPO subscribed 82 times on final day; retail portion subscribed 12 times

Mumbai-based Nykaa is owned by FSN E-Commerce Ventures, a digital consumer fashion technology platform that specialises in content-led, retail lifestyle experience. Its portfolio includes fashion, beauty, and personal care products, and serves clients through both offline and online stores. The company has more than 80 stores in 40 cities across the country.

At 11:30 am, Nykaa shares traded at Rs  2,037 apiece on BSE, and Rs 2,063 on NSE. The 30-scrip benchmark index Sensex was down half a percent at the time.