Jaro Institute of Technology Management & Research, a prominent player in the higher education and upskilling sector, made its debut on the stock market today. The shares initially listed flat at the Initial Public Offering (IPO) price of ₹890 on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE), but subsequently experienced a significant decline.

Market Performance

After opening at ₹890, matching the IPO price, Jaro Institute's shares fell over 10% on both NSE and BSE. The stock continued to decline, eventually dropping by 14% from its opening price.

IPO Details and Subscription

The ₹450.00 crore IPO garnered significant interest from various investor categories:

The IPO received bids for 8.21 crore shares against 37.23 lakh offered. It comprised a fresh issue of 19 lakh shares worth ₹170.00 crore and an offer-for-sale of 31 lakh shares worth ₹280.00 crore by promoter Sanjay Namdeo Salunkhe. Prior to the public offering, Jaro Institute successfully raised ₹135.00 crore from 19 anchor investors.

Company Overview

Jaro Institute, founded in 2009, operates as an online higher education company. Its key features include:

• Over 22 offices across major cities
• Partnerships with 36 institutions, including IITs and IIMs
• Offering of 268 courses

Use of Proceeds

The company plans to utilize the fresh issue proceeds as follows:

• ₹81.00 crore for marketing
• ₹45.00 crore for debt repayment

Despite the strong subscription numbers across investor categories, the market debut and subsequent decline highlight the volatility often associated with newly listed stocks.

Jaro Institute of Technology Management & Research is set to make its stock market debut today on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE), following a successful Initial Public Offering (IPO). The listing comes amid positive sentiment in the grey market, suggesting a potential upside for investors.

IPO Performance

The IPO of Jaro Institute witnessed strong demand from investors, with the issue being oversubscribed 22.06 times. The company received bids for 8.21 crore shares against the 37.23 lakh shares on offer, indicating robust investor interest in the edtech firm.

Expected Listing Price

Based on grey market trends, Jaro Institute shares are anticipated to list at a premium. The grey market premium currently stands at Rs 42, suggesting a potential listing price of Rs 932.00 per share. This represents a 4.72% premium over the upper price band of Rs 890.00 set during the IPO.

IPO Details

The Rs 450.00 crore IPO comprised two components:

• A fresh issue worth Rs 170.00 crore
• An offer-for-sale (OFS) amounting to Rs 280.00 crore

Utilization of Funds

The Mumbai-based higher education and upskilling platform has outlined its plans for the IPO proceeds:

• Rs 81.00 crore allocated for marketing activities
• Rs 45.00 crore earmarked for debt repayment

Company Background

Founded in 2009, Jaro Institute operates as an edtech firm specializing in higher education solutions. The company has positioned itself in the growing market for online education and professional upskilling.

Market Expectations

While the grey market premium suggests a positive listing, it's important for investors to note that market conditions and investor sentiment on the listing day can influence the actual opening price and performance of the shares.

As Jaro Institute makes its market debut, all eyes will be on its performance, given the recent interest in the edtech sector and the company's focus on higher education and upskilling solutions.