Shares of Godavari Biorefineries had a weak debut on the stock market on October 30, opening at Rs 308 on the NSE, marking a discount of 12.5 percent over its issue price of Rs 352 per share.
The Rs 554.75 crore initial public offering (IPO) comprised a fresh issue of 92 lakh shares aggregating to Rs 325 crore and an offer for sale of 65 lakh shares valued at Rs 229.75 crore.
Bidding for the IPO opened on October 23 and closed on October 25. By October 25, the Godavari Biorefineries IPO had been subscribed 1.9 times. The retail category had been subscribed 1.8 times, while Qualified Institutional Buyers (QIBs) showed the highest interest, with a 2.8-time subscription rate. However, the Non-Institutional Investors (NIIs) category saw a more moderate response, with a 0.9-times subscription rate.
Also Read | Experts see less chance of Godavari Biorefineries listing at a premium on October 30
The price band for Godavari Biorefineries IPO was set between Rs 334 to Rs 352 per share.
Proceeds from the IPO will go towards repayment or pre-payment of certain outstanding borrowings and general corporate purposes.
Equirus Capital Pvt Ltd and SBI Capital Markets Ltd managed the IPO, with Link Intime India Pvt Ltd acting as the registrar.
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On October 22, Godavari Biorefineries raised Rs 166.42 crore from anchor investors.
Founded in 1956, Godavari Biorefineries is a major player in ethanol-based chemicals with a portfolio spanning bio-based chemicals, sugar, ethanol, and power. The company's products serve a range of industries, including food, beverages, pharmaceuticals, cosmetics, and power.
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