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Zomato CEO Deepinder Goyal Gets 33,422 Mamaearth Shares

SUMMARY

Bid-allottee data from the IPO showed that Goyal applied for 3.08 Lakh shares but was allotted only 33,422

Goyal’s allotment of the D2C unicorn’s shares comes as retail investors seemed least interested in Mamaearth’s IPO

The startup plans to raise up to INR 1,700 Cr via its IPO at a valuation of $1.2 Bn

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The cofounder and CEO of Zomato, Deepinder Goyal, has been allotted 33,422 shares in the public issue of Honasa Consumer, the parent company of beauty D2C unicorn Mamaearth.

Bid-allottee data from the IPO showed that Goyal applied for 3.08 Lakh Mamaearth shares but was allotted only 33,422, Moneycontrol reported, citing a source.

The development comes as Mamaearth is set to list on the bourses on November 7, after mopping up INR 765.2 Cr from 49 anchor investors on October 30. 

Some of the prominent investors that backed the funding round include names like Smallcap World Fund, Fidelity, Abu Dhabi Investment Authority, Government Pension Fund Global, Caisse De Depot ET Placement, FSSA India Subcontinent Fund, Carmignac Portfolio, Goldman Sachs, Hornbill Orchid India Fund, et al.

Mamaearth’s public issue was oversubscribed 7.61X on the last day on the back of huge demand from qualified institutional buyers (QIBs). The issue received bids for 22 Cr shares as against 2.89 Cr shares on offer. While 1.57 Cr shares were on offer for the QIB category, it received bids for 18.11 Cr shares and was oversubscribed 11.5X. 

Overall, foreign institutional investors (FIIs) placed bids for 14.88 Cr shares. On the other hand, the non-institutional investors’ (NIIs) category was oversubscribed 4.02X at the end of the last day. Of the 78.72 Lakh shares on offer for the category, it received bids for 3.17 Cr shares.

Incidentally, Goyal’s allotment of the D2C unicorn’s shares comes as retail investors seemed least interested in Mamaearth’s IPO. The portion reserved for them was oversubscribed by only 1.35X. Retail investors placed bids for 70.67 Lakh shares as against 52.48 Lakh shares on offer for the category.

The startup plans to raise up to INR 1,700 Cr via its IPO at a valuation of $1.2 Bn. Mamaearth’s public issue comprises a fresh issue of shares worth INR 365 Cr and an offer for sale (OFS) component of 4.12 Cr shares. The IPO price band was set at INR 308-INR 324 per share.

Founded in 2016 by Varun and Ghazal Alagh, Honasa Consumer, the parent of Mamaearth, owns four beauty and personal care brands — The Derma Co., Ayuga, Aqualogica and Dr Sheth’s. 

Post its listing, the company would become the fifth new-age tech startup after ideaForge, Yudiz, Zaggle, and Yatra to go public this year.

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