Chemicals maker Laxmi Organic IPO subscribed 2.28 times on Day 1

The firm is in the speciality chemicals space

Speciality chemicals manufacturer Laxmi Organic Industries' initial public offer was subscribed 2.28 times on the first day of subscription on Monday.

The initial public offer (IPO) received bids for 7,42,26,635 shares against 3,25,58,138 shares on offer, according to data available with the NSE.

The portion meant for qualified institutional buyers (QIBs) was subscribed 1 per cent, non-institutional investors 49 per cent and those for retail individual investors (RIIs) 4.34 times.

The initial public offer aggregating up to Rs 600 crore comprises a fresh issue of up to Rs 300 crore and an offer for sale of up to Rs 300 crore.

The price range for the Mumbai-based company's offer is Rs 129-130 per share.

Laxmi Organics Industries on Friday garnered Rs 180 crore from anchor investors.

Net proceeds from the issue will be utilised for setting up a manufacturing facility for fluorospecialty chemicals, working capital requirements, purchase of plant and machinery and upgrading existing units.

In addition, funds would be used for prepayment or repayment of all or a portion of certain outstanding, besides general corporate purposes.

The company has a global presence with customers in over 30 countries, including China, the Netherlands, Russia, Singapore, United Arab Emirates, the UK and the US.

DAM Capital Advisors Limited and Axis Capital Limited are the managers of the offer.