The public issue of facility management consultant Updater Services received muted response from investors on the first day of bidding on September 25 with bids for 6.97 lakh equity shares against an IPO size of 1.19 crores resulting into a 6 percent subscription.
Retail investors are well ahead among investors, buying 30 percent shares of the portion set aside for them which is 10 percent of the total issue size, while high net-worth individuals have bought 1 percent shares of reserved portion.
The company has reserved 15 percent shares of the offer for high net-worth individuals and 75 percent for qualified institutional buyers (QIB) who are yet to participate in the offer.
The Mumbai-based company intends to raise Rs 640 crore from the initial public offering at the upper price band, comprising a fresh issue component of Rs 400 crore and an offer-for-sale of Rs 240 crore worth shares by promoter and investors.
The price band for the offer is set at Rs 280-300 per share.
The business support services provider mopped up Rs 288 crore from anchor investors on September 22 such as Citigroup Global, Copthall Mauritius Investment, Societe Generale, BNP Paribas Arbitrage - ODI, Nomura Singapore, ICICI Prudential Mutual Fund, Franklin India, Aditya Birla Sun Life Insurance, Bandhan Mutual Fund, and 360 One Special Opportunities Fund.
The net fresh issue proceeds will be spent on debt repayment of Rs 133 crore, and working capital requirements of Rs 115 crore. Inorganic initiatives will also be taken up at Rs 80 crore, and the remaining money will be used in general corporate purposes.
The offer will close for subscription on September 27.
The company, in consultation with the designated stock exchange BSE, will finalise the basis of allotment of IPO shares by the end of October 4, while the trading in equity shares on the bourses will be commenced with effect from October 9, as per the IPO schedule.
Click Here To Know Latest Subscription Figures for JSW Infrastructure IPO
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!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
