The initial share sale of Kronox Lab Sciences has received strong subscription on the first day of bidding, June 3, with all investors participating in the issue. Positive market conditions, along with good financial performance and debt free status could be some of the reasons backing the IPO subscription. The benchmark indices Nifty 50 and BSE Sensex rallied more than 3 percent after exit polls suggesting a landslide victory for NDA government.
The Rs 130-crore IPO has been subscribed 11.07 times with investors buying 7.41 crore equity shares against the offer size of 66.99 lakh equity shares, the subscription data of exchanges showed.
Non-institutional investors were the leaders among them, bidding 19.94 times the allotted quota, followed by retail investors who have bought 12.95 times the reserved portion. The portion set aside for qualified institutional buyers was booked 1.11 times.
The speciality fine chemicals maker aims to raise Rs 130.15 crore through an initial public offering of 95.7 lakh equity shares at the upper price band. The IPO consists of only an offer-for-sale by the promoters, with no fresh issue component.
It already mobilised Rs 39.05 crore through anchor book on May 31, a day before the issue opening. Negen Undiscovered Value Fund, Chanakya Opportunities Fund I, Minerva Emerging Opportunities Fund, Capri Global Capital, and Moneywise Financial Services were among the investors in the anchor book.
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The price band for the public issue, which closes on June 5, has been fixed at Rs 129-136 per share.
Kronox Lab Sciences supplies specialty fine chemicals to several industries such as pharmaceutical, nutraceuticals, agrochemical, personal care, metal refineries, and animal health products.
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