D-Mart shopping rakes in huge gain for mutual funds

A third of shares in the IPO cornered by funds; stock has surged 162% over issue price

Investment in shares of Avenue Supermarts, which runs the D-Mart value retail chain, has proved a blockbuster for the country's equity fund managers.

Interestingly, mutual funds managed to corner 30 per cent of the shares on offer in the retailer's Initial Public Offer (IPO) last month.

Of the 62.5 million shares on sale, fund managers grabbed a little over 19 mn at an offer price of Rs 299. Most of the investments were made in the anchor book of the IPO. The stock is currently trading at Rs 784, a jump of a whopping 162 per cent within a month of listing.

Nearly