The IPO of Precision Camshafts, the first public offering of 2016, managed to sail through on the last day of the offer today with an over subscription of 1.89 times.
Till the second day, the IPO had attracted bids for just 29 per cent of the total shares on offer.
The Rs 410-crore IPO received bids for 3,00,43,840 shares, against the total issue size of 1,58,67,366 scrips, data available with NSE till 1800 hrs showed.
The portion reserved for qualified institutional buyers (QIBs) was oversubscribed 2.6 times and retail segment was subscribed 1.9 times, sources said.
The category reserved for high net worth individual (HNI) was subscribed 73 per cent.
The company had set a price band of Rs 180-186 for the sale.
The maiden offering comprises fresh issue aggregating up to Rs 240 crore and an offer for sale of up to 91,50,000 equity shares of Rs 10 each.
From six anchor investors, the company has raised Rs 123 crore by selling shares at the upper price band.
The anchor investors were - SBI Mutual Fund, IDFC Mutual Fund, ICICI Prudential Mutual Fund, HDFC Trustee Company Ltd, Birla Sunlife Trustee company and Canara Robeco Mutual Fund.
Proceeds from the fresh issue would be utilised for establishment of a machine shop for ductile iron camshafts at the export oriented unit (EOU) in Solapur, Maharashtra at a cost of Rs 200 crore and for other general corporate purposes.
The company also proposes to set up two new machine shops at Solapur, for ductile iron camshafts and assembled camshafts by fiscal 2017 and 2018, respectively.
Maharashtra-based Precision Camshafts makes over 150 varieties of camshafts for small and mid-sized passenger vehicle engines world over.
SBI Capital Markets, HDFC Bank and IIFL Holdings are the book running lead managers to the issue.
