Metro Brands IPO subscribed 3.6 times last day on Institutional interest

The company had priced its Rs 1,367-crore IPO at Rs 485-500 a share; offer consisted of a fresh issue of Rs 295 cr and Rs 1,072 cr OFS

The initial public offer (IPO) of branded footwear retailer Metro Brands was subscribed 3.6 times on Tuesday, the concluding day of the issue. The institutional investor portion was subscribed 8.5 times, the wealthy investor portion by 3.02 times, and retail investors by 1.13 times.

The company had priced its IPO between Rs 485 and Rs 500 per share. The Rs 1,367-crore IPO consisted of a fresh issue of Rs 295 crore and an offer for sale of Rs 1,072 crore.  The company plans to utilise the funds raised through the fresh issue for opening new stores under its Metro, Mochi, Walkway and Crocs brands.

Metro Brands is one of the largest Indian footwear speciality retailers. The company opened its first store under the Metro brand in Mumbai in 1955. It has since expanded to retail a wide range of branded products for men, women, unisex and kids.

As of September 30, 2021, the company operated 598 Stores across 136 cities, spread across 30 states and union territories in India. The company targets the economy, mid and premium segments in the footwear market.

The company retails footwear under its own brands  Metro, Mochi, Walkway, Da Vinchi and J. Fontini, and certain third-party brands such as Crocs, Skechers, Clarks, Florsheim, and Fitflop.

The company also offers accessories such as belts, bags, socks, masks, and wallets. And has retail foot care and shoe-care products at its stores through a joint venture, MV Shoe Care.

Axis Capital, Ambit, DAM Capital, Equirus, ICICI Securities and Motilal Oswal Financial Services are the bankers to the issue.