Regaal Resources IPO subscribed 5.94 times on the first day of offer

The initial public offer of Regaal Resources Ltd, a maize-based speciality product manufacturer, received 5.94 times subscription on the first day of bidding on Tuesday.

The initial share sale got bids for 12,47,19,552 shares against 2,09,99,664 shares on offer, according to NSE data.

Non Institutional Investors part fetched 10.77 times subscription while the quota for Retail Individual Investors (RIIs) got subscribed 5.58 times. Qualified Institutional Buyers (QIBs) category received 2.94 times subscription.

Regaal Resources Ltd on Monday mobilised around Rs 92 crore from anchor investors.

The price band has been fixed at Rs 96-102 per share.

The IPO has a fresh issue of shares worth Rs 210 crore and an offer-for-sale of 94.12 lakh shares valued at Rs 96 crore by promoters, at the upper end of the price band. This aggregates the issue size to Rs 306 crore.

Following the issue, the promoters' stake will reduce to approximately 71 per cent from 100 per cent.

Of the fresh issue proceeds, Rs 159 crore will go towards repayment or pre-payment of certain borrowings.

Regaal Resources operates a zero liquid discharge maize milling facility catering to customers in food products, paper, animal feed and adhesives across India, and in export markets such as Nepal and Bangladesh.