Coffee Day Enterprises IPO subscribed 4%

The company on Tuesday had raised Rs 334 crore from anchor investors

The Rs 1,150 crore initial public offering (IPO) from Coffee Day Enterprises, the biggest issue since December 2012, which opened for subcription today has been subscribed 4% as at 2pm, as per stock exchange data.

The company which operates the Cafe Coffee Day chain of restaurants has priced its IPO between Rs 316-328 per equity shares.

Non-Institutional Investors have bid for just 55,440 shares against offer of 5.38 million shares and in the Retail Individial Investors segment 4,91,355 bids were received against an 12.57 million shares on offer, according to bid details data on the National Stock Exchange.

Meanwhile, ahead of the IPO the company raised Rs 334 crore from anchor investors including BlackRock India, ICICI Prudential, Reliance Life Insurance Company, Merrill Lynch Capital and Swiss Finance Corporation.

According to Securities and Exchange Board of India regulations, anchor investors can be allotted up to 60 per cent of shares reserved for institutional investors in an IPO. The allotment to anchor investors is on a discretionary basis. The investors, however, have to observe a lock-in period of 30 days from the date of allotment.