IPO of Netweb Technologies garners more than 90 times subscription

Netweb Technologies India’s initial public offering (IPO) garnered more than 90 times subscription, generating bids worth Rs. 40,000 crore. The qualified institutional buyer (QIB) portion of the issue was subscribed a record 229 times, while retail and high networth individual (HNI) portions were subscribed 19.2 times and 82 times, respectively. Netweb has set Rs. 475-500 as the price band for its maiden share sale. At the upper end of the price band, the company is valued at Rs. 2,803 crore, nearly 60 times on FY23 earnings.

The IPO consists of a fresh fund raise of Rs. 206 crore and an offer-for-sale of Rs. 425 crore. Netweb plans to use the IPO proceeds for funding capital expenditure requirements, which includes building a surface mount technology (SMT) line.