Fintech firm Zaggle Prepaid IPO subscribed 19% on Day 1 of bidding

The Initial Public Offering (IPO) of fintech player Zaggle Prepaid Ocean Services Ltd received 19 per cent subscription on Thursday, the first day of the bidding.

The share sale received bids for 36,84,060 of 1,93,26,761 shares on offer, according to NSE data.

The portion for Retail Individual Investors (RIIs) was subscribed 87 per cent while the quota for non institutional investors received 11 per cent subscription.

The IPO has a fresh issue of up to Rs 392 crore and the offer for sale of up to 10,449,816 equity shares.

The price range of the IPO is Rs 156-164 per share.

Zaggle Prepaid Ocean Services on Wednesday said it has mobilised Rs 253.52 crore from anchor investors.

The company proposes to utilise Rs 300 crore of the net proceeds on expenditure towards customer acquisition and retention, up to Rs 40 crore on expenditure for the development of technology and products, and up to Rs 17.08 crore to pare down, in full or in part, debt availed of by the firm.

Founded in 2011, the company has created a market niche in the country by offering a combined solution for spend management through prepaid cards and employee management (through SaaS), the firm said.

ICICI Securities, Equirus Capital, IIFL Securities and JM Financial are the managers to the offer.

Equity shares of the company will be listed on the BSE and the NSE.