RPP Infra Projects IPO subscribed 2.97 times

The IPO by the RPP Infra Projects has received an excellent response from investors and was subscribed three times when the issue closed this evening, according to data available on the NSE website. The Company received overwhelming response from individual retail investors following the Sebi raising the upper investment limit to Rs 2 lakh from Rs 1 lakh for retail investors. 

RPP Infra Projects is primarily engaged in the business of infrastructure development such as highways, roads and bridges, and became the first Indian company to be eligible for the relaxed retail investor investment limit.

The company, with an Order Book position of Rs 612.90 crore as on June 30, 2010, proposes to deploy the net proceeds of the Issue for investment in SPVs for BOT projects, investment in capital equipment, funding margin requirement for working capital and meeting general corporate expenses. RPP has leveraged its civil construction expertise in diverse segments of the construction and infrastructure industry such as roads, bridges, highways, SEZ development, irrigation, water supply management and power projects.

RPP had entered the capital markets on November 18, 2010 with a public issue of 65,00,000 equity shares of Rs 10 each in the Price Band of Rs 68 to Rs 75 through a 100 per cent book building process. VC Corporate Advisors, Kolkata is the sole Book Running Lead Manager to the issue and Cameo Corporate Services is the Registrar to the issue.