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Shares of Electronics Mart India continued to see buying interest for the second straight session on October 18 after Nippon India Mutual Fund bought an additional 0.6 percent equity stake in the company through open market transactions.

In the previous session, which was the first trading day for the stock after its IPO, Electronics Mart India closed with a massive 43 percent gains at Rs 84.50, which was largely in line with analysts’ estimates, given the robust response from investors to the IPO, healthy financials with steady margins and strong industry growth prospects.

Nippon India Mutual Fund on October 17 has bought 24 lakh equity shares or 0.6 percent stake in the consumer durables and electronics retailer as per the bulk deals data available with exchanges. These shares were bought at an average price of Rs 89.42 per share.

On October 3, a day before the IPO opening, Nippon India had bought 33.89 lakh shares in the company through its Nippon India Consumption Fund and Nippon India Flexi Cap Fund through anchor book. These shares were bought at an issue price of Rs 59 per share.

When these shares are combined, Nippon India’s shareholding in the company as of October 17 stood at 1.5 percent.

Apart from that, BNP Paribas Arbitrage also net bought 33.21 lakh equity shares in Electronics Mart India at an average price of Rs 88.58 per share on Monday.

As per the latest shareholding pattern, mutual funds held 4.45 percent stake in the company, and foreign investors have 2.48 percent share, while retail investors bought 10.34 percent stake.

Electronics Mart India, one of the fastest growing consumer durables and electronics retailers in India, has raised Rs 500 crore through its public issue. The company is going to utilise these funds for expansion and opening of stores and warehouses, working capital requirements, and repaying debts.

The company that enjoys a leadership position in South India with the majority of stores located in Telangana and Andhra Pradesh recorded a 77 percent growth in profit at Rs 104 crore for the financial year ended March 2022, on revenue of Rs 4,349.3 crore that increased 36 percent over previous year.