ARCIL IPO subscribed 28% so far on Day 1: Check price band, lot size and key dates

The initial public offering of Asset Reconstruction Company (India) Ltd, or ARCIL, has been subscribed 28% so far on the first day of bidding on Wednesday, September 9. The issue will conclude on September 11. The price band has been fixed at ₹132 to ₹139 per share.

It received bids for 1,01,70,564 shares compared to 3,69,12,363 shares on offer, according to the NSE data until 2:51 pm.

The ₹732.97 crore IPO is solely an offer for sale (OFS) of 5.27 crore shares, with no fresh issuance of shares. Since there is no fresh issue component, the company will not receive any proceeds from the offer. All proceeds from the offer will go to the selling shareholder.

Under the OFS, promoters State Bank of India and Avenue India Resurgence Pte Ltd, and investors Federa Bank and Lathe Investment will divest their stake.

"Our company expects that the listing of equity shares will enhance our visibility and brand and provide liquidity to its existing shareholders. Listing will also provide a public market for the equity shares in India," the firm said in its red herring prospectus.

Before the IPO, the company raised ₹220 crore from anchor investors, including Goldman Sachs India Asset Management Company, Bandhan Mutual Fund, JM Financial Mutual Fund, WhiteOak Capital, Groww Mutual Fund, Aditya Birla Sun Life Mutual Fund, Bajaj Life Insurance, Societe Generale, Tata Mutual Fund, BofA Securities Europe SA and Integrated Core Strategies Asia.

ARCIL IPO: Lot size

A lot consists of 107 shares. The company has set aside 50% of the net offer for qualified institutional buyers, 35% for retail investors and 15% for non-institutional investors.

ARCIL IPO: Allotment and listing date

ARCIL is an asset reconstruction company and is involved in acquiring stressed assets from banks and financial institutions and implementing resolution strategies by restructuring, enforcement of rights over underlying securities and settlement.