By 2.15 am, the Rs 453 crore IPO had received bids for 1,55,23,500 shares, which was 3.1 times of the total issue size of 49,99,609 shares. The retail quota was subscribed 6.53 times. NII and employee quotas were subscribed 12 per cent and 24 per cent, respectively while the QIB quota was subscribed 26 per cent.
The company had on Tuesday raised Rs 202 crore from 15 anchor investors.
On the block are up to Rs 180 crore fresh shares and an offer for sale of up to 54,57,470 shares. Up to Rs 2 crore worth shares are reserved for eligible employees.
Analysts said that the demanding valuation looks cheap at 1.4 times FY23 EV/Sales, but the stock at 46 times FY23 EPS offers limited upside. Add uncertainty over the second Covid wave, its impact on the predominantly dine in restaurant chains, losses at PAT levels and the fact that the company just a couple of months ago raised funds in pre-IPO allotment at half the IPO price band have made analysts go wary of IPO. Some analysts said investors can give this IPO a miss.
The interest in IPOs has also waned after some of the recent issues debuted at a discount to their issue prices. Premiums in grey market has also plunged sharply.
Barbeque Nation Hospitality owns and operates casual dining restaurant chains Barbeque Nation Restaurants, and International Barbeque Nation Restaurants. It also owns and operates Toscano Restaurants and You and Barbeque.
The company operated 164 restaurants as of December 31, out of which 147 were Barbeque Nation Restaurants spread across 77 cities in India.
