Laxmi Organic, Craftsman Automation, Kalyan Jewellers: IPO Subscription Updates
Three initial public offerings remained open to investors on March 16, out of which one received muted response, while two others witnessed strong interest.
Here’s how the three IPOs fared:
Kalyan Jewellers IPO: Day 1
The Rs 1,175-crore issue was subscribed 0.6 times as of 5 p.m. on March 16 led by employees and retail investors while institutional investors stayed away, according to exchange data. The IPO will close on March 18.
Institutional investors: 0.
Non-institutional investors: 0.2 times.
Retail investors: 1.12 times.
Employees: 1.16 times.
The largest pan-India jeweller after Titan Co. will issue 9.19 crore shares worth Rs 800 crore, according to its red herring prospectus. Promoters TS Kalyanaraman and Highdell Investments Ltd., an investment arm of Warburg Pincus, will sell 4.31 crore shares amounting to Rs 375 crore.
The issue constitutes 13.1% of the company’s fully diluted equity and values the jeweller at Rs 8,961.5 crore at the higher end of the price band. The IPO price is higher than the recent allotment of 9.88 crore equity shares to Highdell at Rs 50.58 on March 4, pursuant to the conversion of 11.90 crore compulsory convertible preference shares held by the private equity arm.
The company will use Rs 600 crore from the proceeds to fund working capital requirements and the rest for general corporate purposes.
Laxmi Organic Industries IPO: Day 2
Retail investors and non-institutional investors piled into the initial public offering of the specialty chemicals maker on its second day.
The issue was subscribed 6.05 times as of 5 p.m. on March 16, according to exchange data. Institutional investors who stayed away from the issue on day 1, subscribed 1.15 times on March 16.
Institutional investors: 1.15 times.
Non-institutional investors: 2.48 times.
Retail investors: 10.38 times.
The Rs 600-crore IPO comprises a fresh issue and an offer for sale of equity shares, each aggregating up to Rs 300 crore. The exercise amounts to 16.59% of the company’s paid-up equity, and will result in the company’s promoter holding falling from 89.51% to 72.92%. At the upper end of the price band, Laxmi Organic Industries will be valued at Rs 3,428 crore.
Research Reports On Laxmi Organic Industries’ IPO:
Craftsman Automation IPO: Day 2
The Rs 824-crore issue was fully subscribed at the end of second day led by retail investors.
The auto components firm’s issue was subscribed 1.13 times as of 5 p.m. on March 16, according to exchange data. The IPO will close on March 17.
Institutional investors: 0.56 times.
Non-institutional investors: 0.19 times.
Retail investors: 1.85 times.
The company plans to use IPO proceeds to retire some of its debt and for general corporate purposes.
Research Reports On Craftsman Automation IPO