Studds Accessories raises Rs 136.6 crore from 9 anchor investors ahead of Rs 455-crore IPO

Studds Accessories IPO News

Haryana-based Studds Accessories, the two-wheeler helmet manufacturing company, has mopped up Rs 136.6 crore from nine anchor investors on October 29, a day before the issue opening for the public.

The Rs 455.5-crore initial public offering (IPO) will open for public subscription on October 30 with price band of Rs 557-585 per share, comprising entirely offer-for-sale of 77.86 lakh shares by promoters and other selling shareholders. The bidding for the offer will close on November 3.

The company on Wednesday finalised allocation of 23,35,836 equity shares to anchor investors at the upper price band.

HDFC Mutual Fund, Nippon Life India, and ICICI Prudential Mutual Fund were the largest investors in the anchor book, each buying 5.12 lakh shares for Rs 30 crore.

Edelweiss Trusteeship, ITI Mutual Fund, Kedaara Capital, Carnelian India, Pinebridge Global Funds, and Edelweiss Life Insurance Company were other investors participated in the anchor book.

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"Five domestic mutual funds through their six schemes have been allocated 18.55 lakh shares by the company in the anchor book," Studds Accessories in its filing to exchanges said.

The company will not receive any funds through its IPO. All the offer money will go to selling shareholders as it is an offer-for-sale.

With three manufacturing facilities having annualised production capacity of 9.04 million units, Studds Accessories, which is valued at Rs 2,300 crore at the upper price band, manufactures two-wheeler helmets under its Studds and SMK brands and other accessories.

It also makes helmets for Jay Squared LLC, which are sold under the Daytona brand in the United States, and for O’Neal under their branding for Europe, United States and Australian markets.

IIFL Capital Services, and ICICI Securities are acting as the book running lead managers to the Studds Accessories IPO.