The main multi-channel Cartrade Tech automotive platform should make its decent debut on scholarships taking into account its business model, the benefit of the first movers in the sector and future growth prospects. Equity actions will list on BSE and the NSE on 20 August.
The initial public offer of Carrade recorded a solid subscription no later than 9 to 11 August, subscribing to 20.29 times by institutional and non-institutional investors. The reserved part of qualified institutional buyers has been subscribed 35.45 times and that of non-institutional investors has witnessed the subscription of 41 times. The retail selling part was reserved for 2.75 times.
The company raised RS 2.998.51 crore through its public question which was a complete sales offer by existing sales shareholders.
“Considering a decent answer from Qib and HNI, we assume that the list would be with a reasonable increase around 1,780-800 levels, which translates into a premium of 10 to 12% on the upper end of the IPO price of 1 618 per share “, Prashanth Tapse, VP Search at Mehta Equities, told MoneyControl.
“A decent list gain seems to be justified as the problem being the first genre business model in the segment and the only multi-channel for-profit automotive platform enterprise,” he said.
Asha Jain, Senior Research Analyst at OREM Securities expects 5 to 7% gain on the Cartrade technology list.
Currently, Cartrade Tech actions traded at a premium of 150 to 170 rupees on the gray market, resulting in a bargaining price from 9.3 to 10.5% of rupees on the issue price of 1,618 rupees per share, The IPO watch and the central data of the IPO have shown.
Cartrade Tech is a multichannel automatic platform with coverage and presence on types of vehicles and value-added services, operating under several brands, namely CARWALE, Cartrade, Courram Automal, Bikewal, Cartrade Exchange, ADROVE Auto and Autobiz .
With these platforms, the company allows new and used automotive customers, vehicle dealers, original equipment manufacturers (OEM) and other buying and selling companies in their vehicles and effective.
The company generates income from several business flows that mainly comprising the Commission and the costs of auction and remarks, online advertising solutions, lead generations and technology-based services.