The shares of Jubilant FoodWorks made a debut on the exchange yesterday with a premium of 11% and then it rose to close 58 per cent higher than its issue price of Rs 145. The company shares closed at Rs 229 on the Bombay Stock Exchange after its first day of trade.

Jubilant FoodWorks has the franchise of US-based pizza company Domino's for operations in the Indian market. After the first day of trade the market valuation of the company stood at Rs 1,456 crore. The company sold 1.8 million pizzas per month in 2009 and has recently expanded in to other segments like pasta.

On the BSE its shares opened 11.4 per cent higher than the issue price and touched Rs 161.60 in the early trade. About 31.7 million shares were traded, out of which 13.51 per cent were marked for delivery on the exchange in Mumbai.

According to the Data released by the BSE, many large firms like Reliance Mutual Fund, Arisaig India and Capital Group picked up shares on the exchange. On National stock Exchange 56.9 million shares were traded and 18 per cent were marked for delivery.

Analysts expect a growth of 40-45 % in earnings in the next few years for the company. The performance is significant as retail investors were not showing much interest in recent IPOs.

Jubilant raised Rs 329 crore from the IPO which consisted of 4 million fresh equity shares and an offer to sell of 18.67 million by India Private Equity Fund (Mauritius) and Indocean Pizza Holding Ltd. The fresh equity raised about Rs 58 crore for the company.

The proceeds form the issue is to be used for repaying a debt of Rs 35 crore and balance for general corporate purposes. Kotak Mahindra Capital Company Ltd was the sole book running lead manager to the issue.