Divgi TorqTransfer Systems IPO receives 12% subscription on first day

The initial public offering of automotive component manufacturer Divgi TorqTransfer Systems received 12 per cent subscription on the first day of the sale on Wednesday.

Bids for 4,75,800 shares were received against 38,41,800 shares on offer, according to an update on the NSE.

The category meant for Retail Individual Investors (RIIs) was subscribed 60 per cent and that of non-institutional investors got 6 per cent subscription.

The Initial Public Offer (IPO) has fresh issue aggregating up to Rs 180 crore and an Offer For Sale of up to 39,34,243 shares. The price band is Rs 560-590 a share.

Divgi TorqTransfer Systems on Tuesday said it has raised more than Rs 185 crore from anchor investors.

At the upper-end of the price, the IPO is expected to fetch a little more than Rs 412 crore.

Proceeds from the fresh issue will be used towards funding capital expenditure requirements for the purchase of equipment for its manufacturing facilities and general corporate purposes.

Inga Ventures and Equirus Capital are the managers to the offer.

Shares of the company will be listed on March 14 on the BSE and NSE.