The maiden public issue of Rajgor Castor Derivatives continued to garner good support from investors on October 18, the second day of bidding, as the offer was subscribed 9.78 times with bids coming in for 6.69 crore equity shares against an IPO size of 68.49 lakh shares.
Retail investors have bought 13.45 times the allotted quota, while the part set aside for high-networth individuals was subscribed 4.22 times and that of qualified institutional buyers 10.2 times.
The company that manufactures castor oil-based products intends to mop up Rs 47.81 crore via the public issue of 95.61 lakh equity shares at the upper price band. The IPO comprises a fresh issue of 88.95 lakh equity shares worth Rs 44.48 crore, and an offer-for-sale of 6.66 lakh shares worth Rs 3.33 crore by promoters.
The price band for the offer, which closes on October 20, has been fixed at Rs 47-50 per share.
Click Here To Know Latest Subscription Numbers of WomanCart IPO
The Ahmedabad-based company already raised Rs 13.56 crore from seven anchor investors on October 16, a day before the issue opening, including Nav Capital VCC, Neomile Growth Fund, VPK Global Ventures, Nexus Global Opportunities Fund, and Moneywise Financial Services.
Of the net fresh issue proceeds, Rs 29.92 crore will be utilised for working capital requirements, and the remaining for general corporate purposes.
The Rajgor family-owned company manufactures castor oil, castor oil cake, and high protein oil cake in the castor plant – Harij along with trading of agro-commodity which accounted very small portion of the revenue from operations in the current financial year. At present, it operates business on a B2B Model and offers customers castor oil and its derivatives.
Also read: Blue Jet Healthcare IPO to open on Oct 25 with no fresh issue component
In the grey market, Rajgor Castor Derivatives equity shares traded at a 20 percent premium over the upper price band, analysts said on condition of anonymity. The grey market is an unofficial market for trading IPO shares till the listing.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
