Issue Price: Rs. 212 (Discount of Rs. 2 for retail)
 
Listing Strategy: Hold

Though the issue was subscribed less than 3.5 times by retail investors, it was heavily subscribed by QIB’s and Non- Institutional investors.

To its merit, the company is a premier print-media player with satisfactory industry growth prospects. It has established brands with flagship newspapers in the national and other regional segments. It also has significant reach in key geographical markets  and strong proven execution capabilities.
 
While the Rs.2 discount offered to the retail investors may not have influenced investors, the issue appeared to be reasonably priced. Though listing gains appear likely here, one can consider holding on to this stock in the medium term in anticipation of better capital apprecioation.

Company Background

DB Corp is a prominent Indian publishing company  with seven newspapers, 48 newspaper editions and 128 sub-editions published in three languages across 11 states. Its flagship newspapers, Dainik Bhaskar (Hindi), Divya Bhaskar and Saurashtra Samachar (both Gujarati), have a combined average daily readership of 15.5 million readers.  Its other newspapers are Business Bhaskar, DB Gold and DB Star and, DNA on a franchisee basis (in Gujarat and Rajasthan).

theIPOguru’s recommendation was…
IPO Analysis Note:  DB Corp