The Rs 698-crore IPO of Laxmi Dental has seen 16.02 times subscription on Day 2 (January 14). The IPO received bids for nearly 14.37 crore shares, as against the offer size of 90 lakh shares, data on NSE showed.
Non-institutional investors (NIIs) overtook retail investors who earlier were leading the subscription rally on Day 1. The portion reserved for NIIs has seen a whopping 37.41 times subscription at the end of Day 2. Retail investors have booked their reserved portion 29.47 times. The portion reserved for Qualified Institutional Buyers (QIBs) is yet to be fully booked and has been subscribed 84%.
Issue Details:
Laxmi Dental has set a price band of Rs 407 to Rs 428 per share for the IPO which entirely comprises a fresh issue of equity shares worth Rs 138 crore and an offer-for-sale (OFS) of 1.3 crore shares worth Rs 560.06 crore by existing shareholders. Investors can bid for a minimum of 33 shares, requiring an investment of Rs. 14,124, and in multiples thereafter.
Grey Market Premium (GMP):
Ahead of the listing, the unlisted shares of the company were trading with a grey market premium (GMP) of around 33% at Rs 577 per share, as per data on Investorgain on January 14.
Before the IPO opened for subscription, the dental products company raised Rs 314.1 crore from several institutional investors via anchor book on January 10. Marquee names like Abu Dhabi Investment Authority, Nomura Trust, Goldman Sachs, Eastspring Investments, and Natixis International Funds invested in the company via anchor book.
About the company:
The Mumbai-based company that makes custom-made crowns and bridges, and branded dental products aims to utilise fresh issue proceeds for repaying debt, purchasing new machinery, and general corporate purposes. The firm has six manufacturing facilities, three of which are in Mira Road, two in Boisar, and one in Kochi, and further five supporting facilities in Mumbai, Delhi, Bengaluru, and Ahmedabad.
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