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Vishal Mega Mart Makes Its Debut on Indian Stock Exchanges
MUMBAI – Vishal Mega Mart, a well-known retail brand in India, has officially made its entry into the stock market, being listed on both the National Stock Exchange (NSE: VMM) and the Bombay Stock Exchange (BSE: 544307) after its initial public offering (IPO) priced at INR 78 per share. This valuation places the company’s fully diluted equity value at INR 370 billion.
The IPO involved the release of 1,026 million shares of common stock. Notably, Partners Group Private Equity Limited (LSE: PEYS/PEY), a key investor in Vishal Mega Mart, divested approximately 23% of its stake during this offering. This move generated a remarkable 36% increase in value compared to the last reported valuation on October 31, 2024. Furthermore, with the stock’s initial trading performance, the remaining investment by Partners Group is now valued about 79% higher than the prior report, amounting to an estimated EUR 97.9 million.
Vishal Mega Mart primarily caters to middle- and lower-middle-income groups and boasts a footprint of over 640 stores across India, offering a diverse range of products, including apparel, general goods, and fast-moving consumer items. The company has demonstrated robust growth, with its EBITDA rising by over 55% and revenue increasing by more than 60% in just two years.
Since its investment began in 2018, Partners Group has supported Vishal Mega Mart in tapping into India’s economic advancement, increasing urban populations, and growth in Tier-2 cities. The company’s success is largely attributed to its strategic store expansions, healthy same-store sales growth, and efficient operations.
This IPO marks an important chapter for Vishal Mega Mart, opening doors for public investors to engage in the company’s growth journey. It also illustrates the continuing dynamism of the Indian retail market, which caters to a sprawling consumer demographic.
As noted in a release from Partners Group Private Equity Limited, there is a stipulated lock-up period for pre-IPO shareholders, with 80% of the shares in Vishal Mega Mart under a six-month lock-up and the remaining 20% locked for an additional year.
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