Page 8 - Ipo India

Sebi to crack down on inflation of IPO subscription, spots such 3 cases

Regulator considering policy review and enforcement action against merchant bankers, says Madhabi Puri Buch

Majority of Indian startups eyeing IPOs in 2024 struggle with losses

Of the 12 startups looking to launch IPOs this year, eight have incurred a cumulative loss of Rs 8,000 crore, including Swiggy, and Ola Electric

Delightful year for IPO investors as 54 of 59 issues return 45% on average

In a year when the key equity benchmarks scaled new highs and rallied nearly 20 per cent making investors richer by close to Rs 82 lakh crore, IPO investors laughed all the way to the bank as 55 of the 59 issues gave them handsome returns of 45 per cent on average. In fact, 2023 turned out to be an outlier for primary market investors when 59 companies hit the street, raising Rs 54,000 crore, and returned over 45 per cent more than the issue prices on average, according to exchange data. This means that more than two-thirds of companies outperformed benchmark indices which rallied close to 20 per cent in the year. The average listing gain for all the 59 IPOs is 26.3 per cent and their average gain as of December 29 is 45 per cent and only four of the 59 main-board IPOs are traded below the issue price on the trading session of the year on December 29. As much as 23 of the 59 issues rallied more than 50 per cent since listing and of them, nine gave more than two-fold gains over the

Gretex Share Broking files draft papers with Sebi to raise funds via IPO

Gretex Share Broking has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO). The IPO is a combination of fresh issue of 1.67 crore equity shares and an offer-for-sale (OFS) of 30.96 lakh shares by selling shareholders, according to the draft red herring prospectus (DRHP) filed with Sebi on Friday. Proceeds from the fresh issue would be used towards working capital requirements and for general corporate purposes. Mumbai-based Gretex Share Broking is engaged in the business of market making and stock broking, underwriting capital markets issuances and depository participants of NSDL. Pantomath Capital Advisors is the sole book running lead manager to the issue. Equity shares of the company will be listed on the BSE and NSE.

Lifting startups from the governance hole

Founders must prioritise governance from the outset rather than deferring it until just before the IPO if they want to create long-term value

Azad Engineering IPO opens on Dec 20, price band set at Rs 499-524 a share

Azad Engineering Ltd on Friday said it has fixed a price band of Rs 499-524 a share for its Rs 740 crore initial public offering (IPO). The issue would open for public subscription during December 20-22 and the anchor book will open for a day on December 19, the company announced. The Hyderabad-based firm's IPO comprises a fresh issue of up to Rs 240 crore and an Offer For Sale (OFS) of equity shares aggregating up to Rs 500 crore by a promoter and investors. The OFS consists of the sale of equity shares aggregating up to Rs 170 crore by promoter Rakesh Chopdar, Rs 280 crore by Piramal Structured Credit Opportunities Fund, and Rs 50 crore by DMI Finance. Proceeds from the fresh issue will be used for funding capital expenditure of the company, payment of debt, and general corporate purposes. Half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors, and the remaining 15 per cent for non-institutional buyers. Investors can bid fo

Azad Engineering receives Sebi's approval to raise Rs 740 crore IPO

Azad Engineering Ltd has received capital markets regulator Sebi's go-ahead to raise Rs 740-crore through an initial public offering (IPO). The Hyderabad-based firm, which filed its preliminary IPO papers in September, obtained the regulator's observation letter on December 5, an update with the Securities and Exchange Board of India (Sebi) showed on Thursday. In Sebi's parlance, obtaining its observation letter means its go-ahead to float an IPO. According to the draft papers, the company's IPO comprises a fresh issue of up to Rs 240 crore and an offer for sale (OFS) of equity shares aggregating up to Rs 500 crore by a promoter and investors. The OFS consists of sale of equity shares aggregating up to Rs 170 crore by promoter Rakesh Chopdar, Rs 280 crore by Piramal Structured Credit Opportunities Fund, and Rs 50 crore by DMI Finance. Proceeds from the fresh issue will be used for funding capital expenditure of the company, payment of debt, and general corporate purposes. Azad ..

3 PE firms offload 7.9% in Mankind; Motisons Jewellers IPO to open Dec 18

The deals took place at around Rs 1,832 apiece. Shares of Mankind fell 3.6 per cent to close at Rs 1,849

IREDA IPO subscribed 38.8 times; Tata Technologies, Gandhar at 15x

IREDA has set the price band for its IPO between Rs 30 and Rs 32 per share

Biz focus will be on growth while improving profitability: Honasa CEO

The number one driver is, as our brands are scaling, we are seeing strong efficiency and leverage in our A&P (advertising and promotions) spends: Varun Alagh

Fedbank Financial raises Rs 330 cr; Ireda IPO subscribed 2x on Day 1

Unifi Capital on Tuesday received Securities and Exchange Board of India's (Sebi) in-principle nod to set up a mutual fund house

Fedfina announces Rs 1,092 cr IPO; sees no impact of RBI norms on issue

Fedbank Financial Services (Fedfina) on Friday said it plans to raise up to Rs 1,092-crore through an initial public offering opening on November 22. The Reserve Bank's circular increasing the risk weights on unsecured lending will increase the borrowing costs, but the negative market sentiment will not impact the offering, Managing Director and Chief Executive Officer Anil Kothuri told reporters here. Fedfina, a subsidiary of south-based Federal Bank, has set a price band of Rs 133-140 per share for the issue which comes amid a raft of other issuances before the holiday season and the next year's general elections. The issue will open for three days starting November 22. The offer consists of fresh issue of Rs 600 crore, while the rest is offer for sale under which existing shareholders, including Federal Bank and homegrown private equity fund True North are exiting. Kothuri said that post issue, Federal Bank's overall holding will come down to 61 per cent from the present 73 per

Mukka Proteins gets Sebi's nod to raise funds via initial public offering

Mukka Proteins, which manufactures fish meal, fish oil, and fish soluble paste, has received capital markets regulator Sebi's go-ahead to raise funds through an initial public offering (IPO). The IPO is an entirely fresh issue of up to 8 crore equity shares, according to the draft red herring prospectus (DRHP). The company, which had refiled its draft IPO papers with the regulator in June, obtained an observation letter from it on October 30, an update with the Securities and Exchange Board of India (Sebi) showed on Tuesday. In Sebi's parlance, obtaining an observation letter means the regulator's nod to float the public issue. Going by the draft papers, the company proposes to utilize up to Rs 120 crore towards working capital requirements, up to Rs 10 crore for investment in its associate, Ento Proteins Pvt Ltd, for funding its working capital requirements besides a portion will be used for general corporate purposes. According to market sources, the IPO size could be anywhere .

ASK Automotive initial public offering subscribed 38% on first day of offer

The Initial Public Offering (IPO) of auto ancillary player ASK Automotive received 38 per cent subscription on the first day of share sale on Tuesday. The initial share sale received bids for 78,51,155 shares against 2,06,99,974 shares on offer, as per NSE data. The portion for Retail Individual Investors (RIIs) was subscribed 56 per cent while the quota for non-institutional investors received 41 per cent subscription. The category for Qualified Institutional Buyers (QIBs) got 3 per cent subscription. The IPO is an Offer For Sale (OFS) of 2,95,71,390 equity shares by promoters -- Kuldip Singh Rathee and Vijay Rathee. Since the IPO is completely an OFS, the entire proceeds will go to shareholders divesting their shares. The issue has a price band of Rs 268-282 per equity share. At the upper end of the price band, the IPO is expected to fetch Rs 833.91 crore. ASK Automotive on Monday said it has mobilised a little over Rs 250 crore from anchor investors. Gurugram-based ASK Autom

Protean eGov Tech IPO subscribed 3.21 times on second day of offer

The initial public offer (IPO) of Protean eGov Technologies was subscribed 3.21 times on Day 2 of subscription on Tuesday. The IPO received bids for 1,40,49,126 shares against 43,78,700 shares on offer, according to NSE data. The category for non-institutional investors was subscribed 6.23 times while the quota for Retail Individual Investors (RIIs) received 3.88 times subscription. The portion for Qualified Institutional Buyers (QIBs) was subscribed 7 per cent. The IPO of Protean eGov Technologies received a full subscription on the first day of the share sale on Monday. Protean eGov Technologies (formerly known as NSDL E-Governance Infrastructure) on Friday said it has mobilized a little over Rs 143 crore from anchor investors. The public issue is purely an offer of sale (OFS) by existing shareholders. The OFS size has been reduced to 61.91 lakh equity shares from 1.28 crore equity shares planned earlier. Since the IPO is completely an OFS, the entire proceeds will go to the se

Protean eGov Tech IPO receives full subscription on Day 1 of offer

The Initial Public Offering (IPO) of Protean eGov Technologies received full subscription on the first day of share sale on Monday. The initial share sale received bids for 46,91,250 shares against 43,78,700 shares on offer, translating into 1.07 times subscription, as per NSE data. The portion for Retail Individual Investors (RIIs) was subscribed 1.49 times while non institutional investors quota got subscribed 1.65 times. The category for Qualified Institutional Buyers (QIBs) received 1 per cent subscription Protean eGov Technologies (formerly known as NSDL E-Governance Infrastructure) on Friday said it has mobilized a little over Rs 143 crore from anchor investors. The public issue is purely an offer of sale (OFS) by existing shareholders. The OFS size has been reduced to 61.91 lakh equity shares from 1.28 crore equity shares planned earlier. Since the IPO is completely an OFS, the entire proceeds will go to the selling shareholders and the company will not receive any funds fr

ASK sets price band; Old Bridge Capital files papers for MF offering

Old Bridge Capital Management, which rece­ived the mutual fund licence in September, has filed papers with Sebi for its first scheme

Auto ancillary firm ASK Automotive gears up to float IPO on November 7

Auto ancillary player ASK Automotive is set to launch its Initial Public Offering (IPO) on November 7, which will be the third maiden public issue to hit the market this month. This will be the third such issue opening in November after ESAF Small Finance Bank and Protean eGov Technologies. ASK Automotive's IPO is completely an Offer For Sale (OFS) of 2,95,71,390 equity shares by promoters Kuldip Singh Rathee and Vijay Rathee. The offer will close on November 9 and the anchor book of the offer will open on November 6, according to the Red Herring Prospectus (RHP). Since the IPO is completely an OFS, the entire proceeds will go to the selling shareholders and the company will not receive any funds from the issue. Gurugram-based ASK Automotive is one of the largest manufacturers of brake-shoe and advanced braking systems for two-wheelers in India. The company has clients including TVS Motor Company Ltd, Hero MotoCorp, Greaves Electric Mobility and Bajaj Auto. JM Financial Ltd, Axis

Protean eGov Tech IPO to open on Nov 6, sets price band at Rs 752-792

Protean eGov Technologies (formerly known as NSDL E-Governance Infrastructure) on Wednesday fixed a price band of Rs 752-792 per share for its Rs 490-crore initial public offering. The maiden public issue that will open for subscription on November 6, will conclude on November 8 and the anchor book of the offer will be opened for a day on November 3, the company said in a statement. The public issue is purely an offer-for-sale (OFS) by existing shareholders. The OFS size has been reduced to 61.91 lakh equity shares from 1.28 crore equity shares planned earlier. Also, the offer includes a reservation of 1.5 lakh equity shares for the company's employees at a discount of Rs 75 per share to the final offer price. Those offering shares in the OFS are -- IIFL Special Opportunities Funds, NSE Investments, Administrator of the Specified Undertaking of the Unit Trust of India, HDFC Bank, Axis Bank, Deutsche Bank AG, Punjab National Bank, and Union Bank of India. At the upper end of the pr

Honasa Consumer raises Rs 765 cr from anchor investors ahead of IPO

Honasa Consumer Ltd, which owns new-age FMCG brands like Mamaearth and The Derma Co, on Monday announced that it has mobilised Rs 765 crore from the anchor investors ahead of its initial public offering (IPO). The company has allotted 2,36,17,228 equity shares to 49 entities at Rs 324 apiece, which is the upper end of the price band, according to a circular uploaded on the BSE's website. Aditya Birla Sun Life Mutual Fund (MF), Axis MF, Nippon India MF, Invesco MF, SBI Life Insurance Company, ICICI Prudential Life Insurance Company, Government Pension Fund Global, Caisse De Depot Et Placement Du Quebec, SmallCap World Fund Inc, Abu Dhabi Investment Authority, and Goldman Sachs (Singapore) are among the anchor investors. The IPO comprises a fresh issue of equity shares worth Rs 365 crore and an offer-for-sale (OFS) component of 4.12 crore equity shares by promoters, investors, and other selling shareholders. Those offering shares in the OFS include promoters -- Varun Alagh and Ghazal