Paradeep Phosphates IPO Subscribed 1.75 Times On Final Day
Follow the latest subscription updates from day 3 of Paradeep Phosphates IPO.
Paradeep Phosphates Ltd.'s initial public offering fully subscribed on the final day, led by demand from retail and institutional investors.
The Rs 1,501.7-crore IPO got off to a slow start, subscribing only 51% at the end of the second day.
IPO by the non-urea fertiliser maker, part of the Adventz Group (KK Birla Group), comprised a fresh issue worth Rs 1,004 crore, according to its red herring prospectus. The Government of India sold its entire stake through an offer for sale. Subsequently, it will cease to be a promoter on listing of the company.
The offer for sale consisted of 11.85 crore shares valued at Rs 497.70 crore at the upper end of the price band of Rs 39–42 apiece.
Paradeep Phosphates was acquired by a joint venture of Zuari Agro Chemicals Ltd. and OCL as part of a divestment process by the government in 2002.
The company will use Rs 530 crore from the fresh issue to complete acquisition of a Goa facility. It will also repay borrowings worth Rs 300 crore, and the rest will be for general corporate purposes.
Subscription Status: Day 3
The IPO was subscribed 1.75 times as of 5 p.m. on May 19.
Institutional investors: 3.01 times.
Non-institutional investors: 0.82 times.
Retail investors: 1.37 times.