Shares of Sunshine Pictures Limited made a strong debut on the Indian stock market on Tuesday, listing at a premium to their issue price. The stock opened at Rs 395.90 apiece on the NSE, which is a 9.97% premium from the IPO price of Rs 360.
On the BSE, it began trading at Rs 394.00 per share, marking a 9.44% premium. The initial public offering of film and television producer-director Vipul Amrutlal Shah-promoted Sunshine Pictures Ltd received 105.81 times subscription on the last day of bidding on Thursday.
Subscription Details
The Rs 282-crore IPO received bids for 58,04,90,382 shares against 54,86,051 shares on offer, as per details available with the NSE. The category for non-institutional investors was subscribed 197.04 times.
The portion for qualified institutional buyers (QIBs) received 123.52 times subscription, and the quota for retail investors was subscribed 56.60 times. Sunshine Pictures Ltd has mobilised Rs 84.64 crore from nine anchor investors.
IPO Proceeds and Utilization
The mainboard issue comprises a fresh issuance of 48 lakh equity shares and an offer-for-sale (OFS) of 30.37 lakh equity shares, taking the total offer size to 78.37 lakh shares. The company plans to utilise up to Rs 112.50 crore from the IPO proceeds to meet its long-term working capital requirements.
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The remaining amount is earmarked for general corporate purposes. The proposed listing is expected to enhance Sunshine Pictures’ visibility, strengthen its brand image, and create a public market for its equity shares in India.
At the upper end of the price band, Sunshine Pictures is valued at an implied post-issue market capitalisation of around Rs 1,121 crore, while the valuation stands at about Rs 1,065 crore at the lower end.
Business Overview
Sunshine Pictures is engaged in originating, creating, developing, producing, marketing, and distributing films and web series.
The listing of Sunshine Pictures Limited is a significant development for the Indian entertainment industry, and its impact will be closely monitored by stakeholders and observers alike. Initial public offerings like this one can provide valuable insights into the market’s appetite for new listings and the growth prospects of companies in the industry.
