Morgan Stanley PE Arm Eyes 3.5x Return in SMT Pre-IPO Round
MS sits 25% above its 52-week low of $151.84.
Summary
Morgan Stanley Private Equity Asia is set to participate in a Rs.175-200 crore pre-IPO round for Sahajanand Medical Technologies (SMT), an Indian medical devices maker, ahead of its listing this week. The round values SMT at about Rs.3,500 crore, in line with the upper end of the IPO price band of Rs.327-344 per share. Morgan Stanley invested at Rs.97.58 per share and stands to make a 3.52x return at the upper end of the band. The IPO is an offer for sale, so SMT receives no proceeds; the pre-IPO round provides liquidity to early backers. Anchor book opens Wednesday, with listing expected later this week.
At the time of this announcement, MS was trading at $190.31 on NYSE in the Finance sector, with a market capitalization of approximately $298.4B. The 52-week trading range was $151.84 to $232.25. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Mint.