JNK India IPO opens on April 23: Institutional investors raise Rs 195 crore in anchor book

JNK India IPO

Heating equipment maker JNK India has raised Rs 194.84 crore from institutional investors on April 22, a day before the IPO opening.

JNK India said in its filing to exchanges it "...has finalised allocation of 46,94,989 equity shares to anchor investors at Rs 415 per equity share," .

Institutional investors including Goldman Sachs, Allianz Global Investors Fund, Natixis International Funds, Kotak Mutual Fund, HDFC Mutual Fund, Nippon Life India, Mirae, DSP Mutual Fund, Edelweiss Trusteeship, LIC Mutual Fund, Bajaj Allianz Life Insurance Company and Aditya Birla Sun Life Insurance Company invested in the company via anchor book.

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"Out of the total allocation of 46.94 lakh equity shares to anchor investors, 27.93 lakh shares were allocated to seven domestic mutual funds which have applied through a total of 11 schemes," JNK India said.

The JNK India IPO is set to hit Dalal Street on April 23, with a fund raising plan of Rs 649.47 crore at the upper price band. It is a mix of fresh issuance of shares worth Rs 300 crore, and an offer-for-sale (OFS) of 84.21 lakh equity shares by the existing shareholders.

IIFL Securities and ICICI Securities are the merchant bankers to the issue.

Goutam Rampelli, JNK Global Company, Mascot Capital and Marketing, and Milind Joshi are the selling shareholders in the OFS.

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The price band for the public issue, which closes on April 25, has been fixed at Rs 394-415 per share.

The company will spend Rs 262.69 crore out of the net fresh issue proceeds on its working capital requirements, and the remaining on general corporate purposes.

JNK India, which manufactures process fired heaters, reformers and cracking furnaces required in oil and gas refineries, petrochemical and fertilizer industries, serves 21 customers in India and eight overseas. Some of its domestic customers include Indian Oil Corporation, Tata Projects, Rashtriya Chemicals & Fertilizers, and Numaligarh Refinery.