The three-day IPO of S. Chand and Co. opens for subscription today. The IPO, at an offer price of Rs 660-670 per share, includes new shares worth Rs 325 crore, as well as an offer for sale of 6.02 million shares by existing shareholders. Analysts so far including Angel Broking have recommended the IPO, estimating it to be fairly priced.
The pre-issue offer is three times SChand's FY2017 price-to-book value (P/BV) at the upper end of its price band, which makes it competitive compared to its peers - Navneet Education, the most recent listed Indian educational book publisher, is trading at 6.3 times its price/book value.