Patel Retail Shares Surge in Market Debut

Patel Retail, a Mumbai-based supermarket chain, made a stellar stock market debut on Tuesday, with shares listing at a nearly 20% premium over the issue price of Rs 255. On the BSE, the stock opened at Rs 305, a 19.60% gain, before settling at Rs 289.75. On the NSE, it debuted at Rs 300, up 17.65%, later trading at Rs 290.20, valuing the company at Rs 981.98 crore.

The strong debut followed a 95.70-times oversubscription of its Rs 242.76-crore IPO, which included a fresh issue of 85.18 lakh shares and an offer for sale of 10.02 lakh shares by promoters Dhanji and Bechar Patel. Proceeds will fund debt repayment (Rs 59 crore), working capital (Rs 115 crore), and general corporate purposes. The IPO’s price band was Rs 237–255, with a grey market premium indicating 19–20% listing gains.

Founded in 2008, Patel Retail operates 43 stores across Thane and Raigad under the Patel’s R Mart brand, offering food, FMCG, apparel, and general merchandise across 10,000 SKUs. Its private labels, like Patel Fresh and Indian Chaska, drive margins, with FY25 revenue at Rs 820.69 crore and a 12.21% profit rise to Rs 25.28 crore.

Also Read: 44 Passengers Escape Bus Fire on Mumbai-Goa Highway

Despite a bearish market, with the BSE Sensex down 569.33 points (0.70%) to 81,066.58 and NSE Nifty falling 161.05 points (0.65%) to 24,806.70, Patel Retail’s debut reflects strong investor confidence in India’s Tier-III retail growth. Analysts suggest short-term investors book gains, while long-term holders monitor regional expansion.

Also Read: Doctor’s Tragic Death Exposes Bhiwandi’s Road Hazards