Parag Milk IPO oversubscribed 1.4 times on Day 5

The IPO of dairy firm Parag Milk Foods, which has been extended till today, was oversubscribed by 1.4 times on the fifth day of the issue.

The Rs 760-crore IPO, which had opened for subscription on Wednesday, has received bids for 2,73,19,045 shares against the total issue size of 1,95,06,590, data available with the NSE till 1700 hours showed.

The portion set aside for qualified institutional buyers (QIBs) was subscribed 67 percent while that of non-institutional investors was oversubscribed 2.64 times.

The retail investor category was also oversubscribed 1.83 times.

Parag Milk Foods on Friday extended its IPO for further three days to May 11 and revised its price band to Rs 215-227 per share.

The offer was earlier scheduled to close on Friday while the price band was previously fixed at Rs 220-227.

The offer comprises fresh issue of shares worth Rs 300 crore and an offer for sale of over 2 crore shares.

The company has already finalised allocation of 1,51,03,935 shares to anchor investors at a price of Rs 227 a share aggregating Rs 342.86 crore to anchor investors.

The shares offered through the issue are proposed to be listed on BSE and NSE.

The book running lead managers to the issue are Kotak Mahindra Capital Company, JM Financial Institutional Securities, IDFC Securities and Motilal Oswal Investment Advisors Private.

The Maharashtra-based Parag Milk, which began its operations in 1992, is now one of the leading manufacturers and marketers of dairy-based branded foods in the country.