The initial public offer of fruit drinks maker Manpasand Beverages was subscribed 6 percent on the first day of the issue.
The Rs 400-crore public issue received bids for 4,29,885 shares against the total issue size of 75,86,207 shares, as per data available with NSE till 1700 hrs. The retail investors portion was subscribed 31 percent.
Gujarat-based Manpasand, the eighth company to launch an initial public offering (IPO) this year, has set a price band of Rs 290-320 per share for the issue.
The IPO, which opened on Wednesday, would close on June 26. Manpasand Beverages has allocated 56.25 lakh shares worth Rs 180 crore to anchor investors.
As per the draft documents, the company plans to raise up to Rs 400 crore through an initial share sale.
The firm would use nearly Rs 153 crore from the IPO proceeds for setting up a new manufacturing facility in Haryana. In addition, the funds would be utilised to set up a corporate office at Vadodara, modernisation of existing facilities in Vadodara and Varanasi, repayment of loans and other general corporate purposes.
Manpasand, the maker of 'Mango Sip' and other fruit drinks, has manufacturing plants in Vadodara, Dehradun and Varanasi.
The company has allocated 75 percent of the issue to qualified institutional buyers (QIBs), 15 percent to non-institutional investors and 10 percent to retail category.
Kotak Mahindra Capital Company, IIFL Holdings Ltd and ICICI Securities are the book running lead managers to the share sale.
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