Rishabh Instruments IPO continued to get decent response from investors, garnering bids for 1.91 crore equity shares against offer size of 77.90 lakh shares resulting into a 2.46 times subscription on August 31, the first day of bidding.
So far, strong demand could be seen in the retail and HNIs category, with retail investors buying 2.79 times the allotted quota and high networth individuals bidding 4.65 times the portion set aside for them.
Qualified institutional buyers also showed interest in the IPO, buying 22 percent shares of the reserved portion which is 50 percent of total offer size.
The Nashik-based company has reserved 15 percent shares of the public issue for high networth individuals and the remaining 35 percent for retail investors.
The offer was subscribed 73 percent on August 30, the first day of bidding.
Rishabh Instruments is planning to garner Rs 490.78 crore via initial public offering of 1.11 crore equity shares at upper price band.
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The offer comprises a fresh issue of Rs 75 crore and an offer-for-sale (OFS) of 94.28 lakh shares by promoters and investor SACEF Holdings II amounting to Rs 415.78 crore. SACEF Holdings, the subsidiary of South Asia Clean Energy Fund (an India-focused clean energy private equity fund), will be exiting the company by selling entire shareholding of 19.33 percent via OFS.
The price band for the issue is Rs 418-441 per share.
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The analog panel meters maker has already raised Rs 147.2 crore via anchor book, a part of QIB on August 29. Anchor investors participated in the book included HDFC Mutual Fund, Sundaram Mutual Fund, Bandhan Mutual Fund, Aditya Birla Sun Life Insurance, and Quant Mutual Fund.
The OFS money will go to selling shareholders, while the fresh issue proceeds will be utilised mainly for expansion of Nashik manufacturing facility I, and general corporate purposes.
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The global energy efficiency solution company with focus on electrical automation, metering, measurement, precision-engineered products caters to power, automotive, and industrial sectors through its five manufacturing facilities.
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