Connplex Cinemas' shares were issued at an issue price of ₹177 and listed on NSE SME at ₹195, providing investors with a listing gain of 10.17%. However, the share closed at ₹185. The funds raised from the ₹90.27 crore IPO will be used for office purchases, LED screens-projectors, working capital, and other corporate needs.
Connplex Cinemas IPO Listing: On August 14, Connplex Cinemas' shares listed on NSE SME at ₹195, which was 10.17% higher than the issue price of ₹177. After listing, it rose to ₹198. The ₹90.27 crore IPO was subscribed 35.67 times. Of the funds raised, the company will use ₹14.79 crore for office purchase, ₹24.44 crore for LED screens and projectors, ₹37.63 crore for working capital, and the remaining amount for other corporate purposes.
10% Gain on Listing
The company had issued new shares at a price of ₹177 per share under the IPO. On the day of listing, the share opened at ₹195, giving investors a gain of approximately 10.17%. In early trading, it went up to ₹198, but later fell and came down to ₹185. Thus, investors remained in profit by about 5.68% until a few hours after listing.
Strong Response to IPO
Connplex Cinemas' ₹90.27 crore IPO was open from August 7 to August 11. Strong interest was shown by investors. Overall, it was subscribed 35.67 times.
- Qualified Institutional Buyers portion filled 44.21 times
- Non-Institutional Investors portion subscribed 49.75 times
- Retail investors portion subscribed 24.75 times
Company's Business Model
Connplex Cinemas was started in 2015. It is an entertainment company operating 'Smart Cinemas'. Its work is related to theater development, movie exhibition, and distribution. The company shares revenue from screening, food and beverage sales, and advertising through franchise agreements. In addition, it also provides both on-screen and off-screen advertising services.
Use of Funds Raised from IPO
The company issued 51 lakh new shares with a face value of ₹10 in the IPO. The funds raised from these will be used in several plans.
- ₹14.79 crore for purchasing a corporate office
- ₹24.44 crore for purchasing LED screens and projectors
- ₹37.63 crore for working capital needs
- The remaining amount for general corporate purposes
Rapid Financial Performance
The company's financial figures have strengthened significantly in the last few years. In FY23, the company earned a net profit of ₹1.65 crore. This increased to ₹4.09 crore in FY24 and ₹19.01 crore in FY25.
The company's total income has also increased tremendously. It has grown at a compound annual growth rate (CAGR) of over 91% to reach ₹96.78 crore. However, there was a slight increase in debt. At the end of FY23, the debt was ₹32 lakh, which decreased to ₹27 lakh at the end of FY24 and increased to ₹72 lakh at the end of FY25.
