Shares of Go Fashion, which owns women’s clothing brand Go Colors, on Tuesday listed with a huge premium of nearly 91 per cent over its issue price of Rs 690.
The company is engaged in the development, design, sourcing, marketing and retailing of a range of women’s bottom-wear products under the brand ‘Go Colors’.
Its bottom-wear products, including churidars, leggings, dhotis, harem pants, Patiala, palazzos, culottes, pants, trousers and jeggings are sold across multiple categories like ethnic wear, western wear, fusion wear, athleisure and types of denim.
It had around 8 per cent share in the organised women’s bottom-wear market in FY20. It has a healthy, asset-light business model and had operating cash flows despite volatility in profit in the last three fiscals.
Go Fashion Rs 1,014 crore IPO had a price range of Rs 655-690 per share. The offer was composed of a fresh issue of Rs 125 crore and an offer for sale(OFS) of Rs 888.61 crore by promoters and investors. The offer was composed of a fresh issue of Rs 125 crore and an offer-for sale of Rs 888.61 crore by promoters and investors.
It was subscribed 135.46 times during November 17-22. Non-institutional investors had put in bids 262.08 times the portion set aside for them and qualified institutional investors’ reserved portion was subscribed 100.73 times. Retail investors bought shares 49.70 times the portion reserved for them.
In FY21, the company posted a loss of Rs 3.54 crore against a profit of Rs 52.63 crore in the previous year. The revenue of the company also fell to Rs 250.66 crore, down from Rs 392 crore in the year before.
Go Fashion shares listed at Rs 1,316, reflecting a steep jump of 90.72 per cent on the BSE. The stock further surged 94.34 per cent to Rs 1,341. At the NSE, it made its debut at Rs 1,310, jumping 89.85 per cent.
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