The initial public offering of Rainbow Children's Medicare Ltd. continued to witness muted investor demand on the second day as well.
The issue was subscribed 29% on the first day, led by retail investors.
The Hyderabad-based hospital chain seeks to raise Rs 1,580.8 crore, including a fresh issue worth Rs 280 crore, at Rs 516-542 apiece.
Rainbow will offer 28.74% of the post-issue equity in the IPO. The promoters will own 49.80% after the sale.
The company has also raised Rs 470 crore from anchor investors ahead of the IPO.
With the proceeds, the company plans a capex of Rs 244 crore over the next three years to set up six new hospitals. It also plans to use Rs 40 crore to redeem non-convertible debentures issued to investor CDC Group.
Subscription Details: Day 2
The IPO subscribed 0.55 times as of 5 p.m. on April 28.
Institutional investors: 0.10 times.
Non-institutional investors: 0.56 times.
Retail investors: 0.82 times.
Employees: 0.14 times.