Cochin Shipyard IPO gets stellar response from investors

Receives bids for 258.90 crore shares

Cochin Shipyard's initial public offer (IPO) received bids for a total of 258.90 crore shares on the last day of bidding yesterday, 3 August 2017, compared with 3.39 crore shares on offer, as per the data on the National Stock Exchange of India (NSE) website. The IPO was subscribed 76.19 times.

The IPO comprised of a fresh issue of 2.26 crore shares and an offer for sale (OFS) of 1.13 crore shares by the President of India (Government of India). The IPO price band had been fixed at Rs 424-432 per share. The issue opened on 1 August 2017.

Category wise, the qualified institutional buyers (QIBs) category was subscribed 63.52 times. The non institutional investors (NIIs) category was subscribed 288.87 times. The retail individual investors (RIIs) category was subscribed 8.51 times.

The issue included a reservation of up to 8.24 lakh equity shares for subscription by eligible employees. The issue and the net issue constituted 25% and 24.39% respectively of the post issue paid-up equity share capital of the company.

The company intends to utilize the proceeds from the issue towards setting up of dry dock, setting up of ISRF and general corporate purposes.

Cochin Shipyard's net profit rose 7% to Rs 312.18 crore on 3.5% growth in net sales to Rs 2059.49 crore for the financial year ended March 2017 (FY 2017) over the financial year ended March 2016 (FY 2016).

Cochin Shipyard is one of the leading shipbuilding and Shiprepairing companies in India.

Powered by Capital Market - Live News