20-Dec-2023
2 mins read
DOMS Industries Ltd marked its entry into the stock market with a bang, debuting on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) at an impressive Rs 1,400 per share. This represents a substantial 77.22% premium over its initial issue price of Rs 790, significantly outperforming market expectations and grey market predictions. With this strong start, DOMS Industries has reached a notable market capitalisation of Rs 8,496.21 crore.
Strong Demand Amidst Debut
At 10:06 am, there was a remarkable demand for DOMS Industries shares, with buy orders outnumbering sell orders significantly. The company witnessed buy orders for 2,91,098 shares against sell orders of just 36,052 shares on the BSE. This high demand was a clear indicator of investor confidence and interest in the company. The listing ceremony was held at the prestigious International Convention Hall, Bombay Stock Exchange, marking the company’s inclusion in the exchange’s ‘B’ Group Securities.
Overwhelming Response During IPO
The IPO phase for DOMS Industries was met with tremendous enthusiasm from investors. The issue was subscribed a whopping 99.34 times, reflecting the strong investor faith in the brand. This response was particularly noteworthy for a company in the ‘stationery and art’ products market, where DOMS is the second-largest domestic player.
Market Leadership and Product Portfolio
DOMS Industries has established itself as a significant player in the stationery sector. By the end of the financial year 2023, the company had secured nearly 12% of the market share in terms of value. Its core product range includes pencils and mathematical instrument boxes, where it enjoys a dominant market share – 29% in pencils and 30% in mathematical instrument boxes, as of FY23.
Expansive Manufacturing Capabilities
The company boasts of 13 manufacturing facilities spread across Gujarat, covering approximately 34 acres and an additional facility in Jammu and Kashmir. These facilities, among the largest in India for stationery manufacturing, have an impressive annual installed capacity of 473.49 crore units.
Robust Distribution Network
DOMS Industries’ extensive domestic distribution network, encompassing 120 super-stockists and 4,000 distributors, is another highlight. With a team of 500 personnel, the company reaches over 120,000 retail touchpoints across more than 3,500 cities and towns, demonstrating its deep penetration in the Indian market.
DOMS Industries’ robust market debut not only reflects the company’s strong fundamentals but also signals a positive sentiment in the stationery and art products sector. As the company continues to expand and strengthen its market position, it will be a key player to watch in the Indian market.