CL Educate Ltd., the parent of coaching service provider Career Launcher, received 37 percent subscription for its initial public offering on the first day of bidding. Retail investors and high net worth individuals showed little interest in the offer though.
The Rs 239-crore offer recieved bids for 12.2 lakh shares as against the 33.3 lakh shares on offer, data from the National Stock Exchange showed, as of 5 pm. While the retail segment saw 13 percent of its total shares on offer being subscribed, the non institutional buyers chose to stay away completely on the offer on day one. The portion reserved for institutional investors was subscribed 1.04 times.
CL Educate has already raised around Rs 72 crore by allotting 14.28 lakh equity shares at Rs 502 to anchor investors on March 17.
The company will use money raised from the fresh issuance to meet working capital requirement, pare debt and fund acquisitions, according to the draft red herring prospectus.