Amanta Healthcare IPO subscribed 20x on Day 2; check latest GMP

Amanta Healthcare IPO

The initial public offering (IPO) of Amanta Healthcare continued to see strong investor interest on its second day of public bidding. The maiden public issue of the company has been subscribed nearly 20 times its offer size on September 2.

The Rs 126-crore IPO received bids for nearly 14 crore shares, as against the offer size of 70 lakh shares, according to data on NSE. Non Institutional Investors (NII) overtook retail investors in the subscription rally, booking their reserved portion more than 36 times, while the latter booked the portion kept for them over 23 times. Qualified Institutional Buyers (QIB) booked 53 percent of the portion kept for them.

Key things to know about Amanta Healthcare IPO:

The pharmaceutical company specialising in manufacturing parenteral products has launched its IPO to raise Rs 126 crore through an entirely fresh issue of 1 crore shares at a price band of Rs 120-126 per share. Investors can bid for a minimum of 119 shares, requiring an investment of Rs 14,994 at the upper price band, and in multiples thereafter.

The IPO will remain open for public bidding from September 1 to September 3. The allotments will likely be finalized by September 4, and the shares are scheduled to debut on BSE and NSE on September 8.

Amanta Healthcare IPO GMP:

Ahead of listing, the unlisted shares of the sterile liquid products-maker were trading with 10.32 percent grey market premium (GMP) over the IPO price at Rs 139 apiece, according to data on Investorgain. This is significantly lower than the 19.84 percent GMP quoted by the site yesterday.

According to IPO Watch, the unlisted shares of the company were trading with 23 percent GMP over the IPO price.

Before the IPO opened for public bidding, Amanta Healthcare raised Rs 37.8 crore from six institutional investors via anchor book on August 29. The company, in its filing to exchanges, said it has finalised allocation of 30 lakh shares to anchor investors at Rs 126 per share. Out of the total allocation of 30 lakh shares, 7.93 lakh shares were allocated to Bandhan Mutual Fund which applied through its Small Cap Fund.

Amanta Healthcare, which seeks valuation of nearly Rs 500 crore, intends to spend Rs 70 crore of IPO proceeds for setting up new manufacturing line of SteriPort, and Rs 30.13 crore for new manufacturing line for small volume parenteral (SVP) at Hariyala, Gujarat. The remainder funds will be set aside for general corporate purposes.

Beeline Capital Advisors is acting as the sole book running lead manager for the Amanta Healthcare IPO.

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