Doms Industries IPO bought 93 times, QIB portion booked 115 times on final day

DOMS Industries IPO comprises a fresh issue of 44.3 lakh shares worth Rs 350 crore and an OFS of 1.07 crore shares

The Doms Industries IPO received a strong response from participants on the final day of bidding on December 15. The issue was subscribed 93.52 times with investors buying 82.64 crore shares against an IPO size of 88.37 lakh shares, as per data published by the exchanges.

Retail investors bought 69.65 times the allotted quota, followed by high net-worth individuals who picked up 66.51 times their reserved portion, while the part set aside for qualified institutional buyers was booked 115.97 times. The participation by employees, too, was strong, as they bought 29.21 times the reserved quota.

Also read: DOMS Industries IPO: A deep dive into its business, risk factors and whether you should invest

The Umbergaon-based company has reserved Rs 5 crore worth of shares for its employees who will get shares at a discount of Rs 75 per share to the final issue price. The net offer size excluded the employees' part.

Further, 75 percent of the net offer size has been reserved for qualified institutional buyers, 15 percent for high net-worth individuals and the remaining 10 percent for retail investors.

Also read: DOMS Industries IPO: Should you subscribe to Rs 1,200 crore issue?

The stationery and art products maker that gets 70 percent of its business from scholastic stationery and art material segments intends to raise Rs 1,200 crore from the public issue. The offer comprises a fresh issue of 44.3 lakh shares worth Rs 350 crore and an offer-for-sale (OFS) of 1.07 crore shares.

FILA (Fabbrica Italiana Lapised Affini SpA), the corporate promoter, offloaded Rs 800 crore worth of shares in the OFS. Promoters Sanjay Mansukhlal Rajani and Ketan Mansukhlal Rajani sold Rs 25 crore worth of shares each. The price band for the issue has been fixed at Rs 750-790 a share.

Institutional investors, including Abu Dhabi Investment Authority, Fidelity Funds, Goldman Sachs, SBI Mutual Fund, HDFC Mutual Fund, ICICI Prudential Mutual Fund, Aditya Birla Sun Life Trustee, Axis Mutual Fund, and ICICI Prudential Life Insurance Company bought Rs 538 crore worth shares in the company through anchor book on December 12, a day before the issue opening.

Also read: Doms Industries IPO: 10 things to know before subscribing to Rs 1,200 crore issue

The stationery and art material brand DOMS operator shares traded at more than 60 percent premium in the grey market given its strong market share in the core business, healthy financial performance and strong brand presence though the valuations are high compared to listed peers, analysts on anonymity said. The grey market is an unofficial platform for trading in IPO shares till the listing.