The document discusses the initial public offering (IPO) of Café Coffee Day shares. It provides details on IPOs in general and Café Coffee Day's IPO process and listing. Specifically, it outlines Café Coffee Day's objective for raising funds through the IPO, the issue details including size and price, its listing date performance, and the application and allotment process.

1. Demystifying Stocks
Initial Public
Offering
OF CAFÉ COFFEE
DAY
-Jaya Saxena
MBA- Finance

2. Initial Public Offering
Investment OpportunitiesThe first public offering of equity shares or convertible
securities by a company, which is followed by the listing of a
company’s shares on a stock exchange, is known as an ‘Initial
Public Offering.
or
When a company issued its shares first time to public in
primary market.
IPOs
INVESTORS OPPORTUNITIES

3. How do IPOs Work
• A company decides to take out
an IPO, and fixes the number
of shares and price, at which
the offer will be made to the
public.
Step 1
• Investors then apply for
shares of this company,
and normally, most IPOs
get applications for more
shares than the total offer.
Step 2
• Whenever the applications
are more than the offer,
companies make partial
allotment to investors.
Step 3

4. IPO Process
IPO Process
Fixed price
method
Book building
method
Combination
method
In the fixed price
method, the price at
which the securities
are offered is fixed
in advance.
In the book building
method, the
investors have to bid
for shares within a
price band specified
by the issuer and the
final price is
decided after
observing the result
of the bidding
In the combination
method,
components of both
the methods- fixed
price & book
building method are
considered.

5. Who invests in IPOs?
• There can be two kinds of investors for IPOs. One is the long term investor who buys
the stock of a company with a mindset of holding it for a long period of time to make
profits.
• The other kind is the short term investor who just buys into the IPO to sell during the
initial few days or even hours of listing and make what are known as listing gains.

6. Benefits of IPOs
•Stocks and shares are a fast way to
raise capital for business expansion
and growth.
•By becoming a publicly traded
company, a business can take
advantage of new, larger
opportunities. IPO gives a company
fast access to public capital.
•For the investor, IPOs are attractive
mainly because they are perceived to
be undervalued.
•To make IPOs more attractive, many
companies may offer their initial
public offering at a low rate. This
encourages investors to buy. IPOs
may be undervalued in some cases,
which can help the investor make a
quick profit.
For Companies For Investors

7. Strategy for Horizon 7
IPO OF CCD
•INTRODUCTION-
•Café Coffee Day Enterprises Ltd. own and
operates coffee cafes in India since 1996.
•Company is well known for its brand name
'Cafe Coffee Day' (CCD). Company owns a
network of 1,472 Cafe outlets spread across
209 cities in India.
•As of Dec 2014, Cafe Coffee Day has market
share of 46% in India in terms of the number
of chained Cafe outlets.

8. Strategy for Horizon 8
Objective Of Issues
Company proposes to utilize the net proceeds towards funding
the following objects:
A. Financing coffee businesses
1. Setting-up of new Cafe Network
2. Manufacturing and assembling of vending machines;
3. Refurbishment of existing Cafe Network outlets and
vending machines
4. Setting-up of a new coffee roasting plant facility, along
with integrated coffee packing facility and tea packing
facility.
B. Repayment or prepayment of loans of the Company and
Subsidiaries
C. General corporate purposes

9. Strategy for Horizon 9
ISSUE DETAIL
»» Issue Open: Oct 14, 2015 - Oct 16, 2015
»» Issue Type: 100% Book Built Issue IPO
»» Issue Size: Equity Shares of Rs. 10
»» Issue Size: Rs. 1,150.00 Cr.
»» Face Value: Rs. 10 Per Equity Share
»» Issue Price: Rs. 316 - Rs. 328 Per Equity Share
»» Market Lot: 45 Shares
»» Minimum Order Quantity: 45 Shares
»» Listing At: BSE, NSE

10. Strategy for Horizon 10
Listing date trading informationn
NSE
Rs. 328.00
Rs. 317.00
Rs. 266.30
Rs. 317.00
Rs. 271.00
18,353,828
BSE
Issue Price: Rs. 328.00
Open: Rs. 313.00
Low: Rs. 266.00
High: Rs. 318.00
Last Trade: Rs. 270.15
Volume: 3,800,000

11. Strategy for Horizon 11
Cafe Coffee Day IPO Listing Date
› Listing Date: Monday, November 2, 2015
› BSE Script Code: 539436
› NSE Symbol: COFFEEDAY
› Listing In: B Group of Securities
› ISIN: INE335K01011
› Issue Price: Rs. 328.00 Per Equity Share
› Face Value: Rs. 10.00 Per Equity Share

12. Number of Times Issue is
Subscribed (BSE + NSE)
As on Date
& Time
QIB NII RII Employee Total
Shares
Offered /
Reserved
7,380,654 5,387,658 12,571,203 474,683 25,814,198
Day 1 - Oct
14, 2015
17:00 IST
0.1700 0.0300 0.1600 0.0800 0.1300
Day 2 - Oct
15, 2015
17:00 IST
1.9800 0.0700 0.3300 0.4500 0.7500
Day 3 - Oct
16, 2015
20:00 IST
4.3900 0.5400 0.9000 0.8600 1.8200

13. Strategy for Horizon 13
Allotment Process
Category
No. of
Applications
No. of Equity
Shares applied
NO. of equity
shares allotted
A.
Retail Individual
Bidders
10,972,800 10,611,180
B.
Non-Institutional
Bidders
2,743,830 2,676,105
C.
Qualified Institutional
Buyers (excluding
Anchor Investors)
32,248,710 11,015,448
D. Anchor Investors 10,664,505 10,381,097
E. Eligible Employees 396,045 377,145

14. THANK YOU