VRL Logistics IPO a top draw, subscribed over 74 times

Transport firm VRL Logistics' initial public offer (IPO) soared to stratospheric heights today when the share sale got subscribed over 74 times on the last day of the offer.
This is also the first IPO in recent times where the subscription has crossed the 70 times mark.
VRL Logistics' public issue received total bids of 1,20,76,05,620 as against the issue size of 1,62,69,006 shares, reflecting a robust subscription of 74.23 times, data available at the NSE till 2000 hrs showed.
The company is the fourth one to hit the capital market this year.
Price band for the issue has been fixed at Rs 195-205. At the given issue size, the company would raise over Rs 333 crore at the upper band.

The IPO constitutes a fresh issuance of Rs 117 crore worth of equity and an offer for sale of 1.71 crore shares by NSR-PE Mauritius LLC and the promoters' family.

Not long ago, Power Finance Corp and Reliance Power IPOs were subscribed more than 70 times.
The proceeds will be utilised for scaling up the company's existing fleet of goods transportation vehicles, repayment of loan and other general corporate purposes.
Post IPO, the promoter stake will come down to 69-70 per cent while 25 per cent will be held by the public and the rest 5 per cent by investors. The shares are proposed to be listed both on the BSE and the NSE.

The Karnataka-based company in 2010 had also made an attempt to tap capital market when it filed draft documents with Sebi for an IPO of 2.35 crore shares.
The latest issue is being managed by ICICI Securities and HSBC Securities and Capital Markets (India) Pvt.
VRL, with a total fleet of over 3,400 vehicles, employs some 15,000 people. It provides luxury bus service in Karnataka, Maharashtra, Goa, Andhra Pradesh, Telangana, Tamil Nadu, Gujarat and Rajasthan.