IPO Subscription Updates: Shyam Metalics Fully Subscribed On Day 1, Sona Comstar Off To Muted Start

A worker handles an iron pipe as it sits stacked at a wholesale steel and iron market in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

IPO Subscription Updates: Shyam Metalics Fully Subscribed On Day 1, Sona Comstar Off To Muted Start

Retail investors lapped up shares of Shyam Metalics Ltd. on the first day of its initial public offering, while Sona BLW Forgings Ltd. (Sona Comstar) received muted response. The two initial share sales will close on June 16.

Shyam Metalics IPO: Day 1

The integrated metal producer’s issue was subscribed 1.24 times as of 5 p.m. on June 14, according to exchange data.

Subscription Details:

  • Institutional investors: 0.
  • Non-institutional investors: 0.71 times.
  • Retail investors: 2.21 times.
  • Employees: 0.27 times.

The Rs 909-crore IPO comprises a fresh issue worth Rs 657 crore and an offer-for-sale of up to Rs 252 crore. The company is selling shares at Rs 303-306 apiece. It plans to use the proceeds from the fresh issue for repayment of the Rs 450 crore debt and for general corporate purposes.

This is Shyam Metalics’ second attempt to tap the primary market.

ICICI Securities, JM Financial, Axis Capital, IIFL Securities and SBI Capital Markets are the book running lead managers to the IPO.

Also read: Shyam Metalics IPO: All You Need To Know

Also read: Shyam Metalics IPO - A Player With Diversified Product Mix In The Metal Sector: Geojit

Sona Comstar: Day 1

The initial share sale of Sona Comstar failed to garner investor interest on the first day.

The Rs 5,550-crore IPO was subscribed 0.11 times as of 5 p.m. on June 14, according to exchange data.

  • Institutional investors: 0.2 times.
  • Non-institutional investors: 0.01 times.
  • Retail investors: 0.52 times.

The auto-parts maker’s IPO comprises a fresh issue worth Rs 300 crore and an offer-for-sale worth Rs 5,250 crore by a Blackstone entity—Singapore VII Topco III Pte Ltd. The company is selling shares at Rs 285-291 apiece. It plans use Rs 241 crore from the issue’s proceeds to pare debt.

The book running lead managers for the issue are Kotak investment banking, Credit Suisse, JM financial, JP Morgan, Nomura, KFin Technologies.

Also read: Sona Comstar IPO: Here’s All You Need To Know

Also read: Sona Comstar IPO: KRChoksey’s Investment Rationale

Also read: Sona Comstar IPO - ICICI Direct's Investment Rationale

Also read: Sona Comstar IPO - Well Diversified Portfolio Across Categories To Tap Future Growth: Motilal Oswal

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