D-Mart hits bull's eye on debut; founder Damani leapfrogs in rich list

Avenue Supermarts, owner of retail chain D-Mart, made a historic market debut on Tuesday, with its stock gaining 114 per cent over the issue price of Rs 299 to close at Rs 641 — one of the best listing-day performances. The stellar debut saw the supermarket chain’s market value soar to Rs 39,988 crore, more than the combined market capitalisation of the next three big listed retailers — Future Retail, Aditya Birla Fashion and Trent. Its founder and ace investor, Radhakishan S Damani, and his family, own an 82 per cent stake in the company after the initial public offering (IPO). The value of their holding soared to Rs 32,790 crore, leapfrogging Damani into the country’s billionaire list and even surpassing stalwarts such as Rahul Bajaj and Anil Ambani. Nifty Trading Tips 

Damani, known to maintain a low profile, made a rare appearance at the listing ceremony, along with his family and close aides. Some stock market veterans, including Enam group founders Nimesh Shah and Vallabh Bhansali, had gathered to support him. “Damani’s success has come from three factors — humility, business acumen and India’s growth. He has a tremendous amount of honesty and humility. Damani has demonstrated how one can be successful by doing things in a simple way and not get carried away with glamour. Also, he has demonstrated that growth can be endless, if you are able to address the bottom of the pyramid,” said Bhansali. Analysts said D-Mart was one of the best players in the domestic retail sector, estimated to double in size to about $115 billion (organised sector) in the next three years. Future & Option Trading Tips