Footwear maker and retailer Khadim India Ltd.’s Rs 543 crore initial public offering was subscribed 0.14 times on the first day of bidding.
The highest demand came from retail investors, who bid for 0.28 times the number of shares on offer, according to data shared by Axis Capital as of 5 pm. Institutional bidders stayed away while non-institutional bidders bid for 0.5 times the number of shares on offer.
Ahead of the IPO, the Kolkata-based company raised Rs 157.5 crore by selling shares to institutional investors as part of its anchor book allocation. The shares were allocated to 13 anchor investors at the upper end of the price band at Rs 750 apiece.
The company plans to raise Rs 543 crore by offering 72.4 lakh shares at Rs 745-750 apiece. Bulk of the proceeds will come from an offer for sale by Fairwinds Trustees Services Pvt Ltd., part of the Reliance Alternative Investments Fund, and promoter Siddhartha Roy Burman.
Khadim is the second largest footwear brand by exclusive retail stores in India after Bata India Ltd. The company runs most of its stores as franchises and doesn’t necessarily own them. It operated 853 Khadim’s branded exclusive retail stores, of which 80 percent were franchises as of June 30.