Shares of DAM Capital made a stellar D-Street debut on Friday, December 27, 2024. DAM Capital shares listed at INR 393 per share on the NSE, reflecting a premium of nearly 39 per cent over the IPO allotment price of INR 283 per share.
On the BSE, DAM Capital shares listed at INR 392.9 per share, reflecting a slightly lower premium of 38.83 per cent per share against the issue price. Thus, with the listing, the investors who were allotted DAM Capital shares during the IPO rounds made a profit of around INR 110 per share.
DAM Capital IPO listing is below grey market expectations. Ahead of listing, the unlisted shares of DAM Capital were quoted trading at INR 448 apiece, indicating a grey market premium (GMP) of INR 165 or 58.3 per cent over the issue price of INR 283. Therefore, DAM Capital listing is somewhat a dud event, especially for HNI investors who usually take loans to finance their bids.
DAM Capital IPO comprised an entirely offer for sale (OFS) of 2,96,90,900 shares amounting to as much as INR 840.25 crore. The public offering was available at a price band of INR 269-283 per share, with a lot size of 53 shares.
The public offer received enthusiastic participation from investors, getting oversubscribed by an impressive 81.87 times by the end of the subscription window on Monday, December 23, 2024. Following that, the basis of allotment of DAM Capital IPO shares was finalized on Thursday, December 26, 2024.
Since DAM Capital IPO is entirely an OFS, the company will not get any funds from IPO proceeds. Nevertheless, the company is not really in a requirement of funds as its business is cash rich. It is fastest-growing investment bank in India having achieved a remarkable revenue compound annual growth rate (CAGR) of 38.77% from Fiscal 2022 to Fiscal 2024. In Fiscal 2024, it also recorded the highest profit margin among its peers.
Led by Dharmesh Mehta, DAM Capital’s team comprised 29 research and 34 broking division employees as of 31 October 2024. They provide services to 263 active clients, including registered Foreign Portfolio Investors (FPIs), across various regions such as India, the USA, the UK, Europe, Hong Kong, Singapore, Australia, Taiwan, South Korea, the Middle East, and South Africa.
