Gopal Snacks IPO retail portion fully subscribed, issue booked 46% on day 2

Following a slow start, the initial public offer (IPO) of Gopal Snacks Ltd seems to have gained momentum. The portions reserves for retail and the non-institutional investors were fully subscribed on the second day on Thursday, March 7.

While the public issue was overall booked 46% the retail portion was subscribed 1.67 times till 2:10 pm on March 7. The NIIs segment also received a good demand from the investors as the category was subscribed 1.1 times. The company overall received bids for 54.82 lakh shares compared to the offer size of 1.19 crore shares till 2:12 pm, as per NSE data.

The retail investors’ category of Gopal Snacks IPO received bids for 99 lakh shares as against 59.38 lakh equity shares on offer. The NIIs segment received bids for 27.98 lakh shares compared to 25.45 lakh shares on offer for the category.

The qualified institutional buyers’ (QIBs) portion saw a poor demand as the category was booked only 9%. Bids for 2.91 lakh shares were received compared to 33.93 lakh shares set aside for the category.

Gopal Snacks IPO Details

Gopal Snacks intends to raise ₹650 crore through the public issue which contains entirely an offer for sale (OFS) of 1.62 crore shares by the promoters and existing shareholders of the company. The Gopal Snack IPO subscription is open from March 6 to March 11.

Ahead of the IPO subscription, the Gujarat-based company raised ₹193.94 crore from anchor investors by allotting 48,36,657 equity shares at the rate of ₹401 per piece.

Link Intime India is the registrar to the public issue by Gopal Snacks. The company has appointed Intensive Fiscal Services, Axis Capital and JM Financial as the book-running lead managers.

Gopal Snacks has reserved half of the net issue for qualified institutional buyers (QIBs). Another 15% of the net issue has been kept aside for non-institutional investors (NIIs) and 35% is allotted to retail individual investors.

Gopal Snacks IPO price band has been fixed in the range of ₹381 to ₹401 per equity share for the face value of ₹1 each.

Retail investors can submit their bids with a minimum lot size of 37 equity shares aggregating to ₹14,837, and multiples thereof. The minimum lot size for sNIIs (small non-institutional investors) is 14 lots, amounting to ₹207,718, and for bNII (big non-institutional investors), it is 68 lots, totalling ₹1,008,916.

The allotment of shares in Gopal Snacks IPO is tentatively scheduled to be finalised on Tuesday, March 12. This will be followed by the initiation of refunds for non-allottees and credit of shares into the Demat account of the successful bidders on Wednesday, March 13. Gopal Snack shares are likely to be listed on the National Stock Exchange and BSE on March 14.

Incorporated in 1999, Gopal Snacks deals in ethnic and Western snacks, as well as other products in India and internationally. The firm's product portfolio includes papad, spices, noodles, rusk, gram flour or gram flour, and soan papdi, as well as snacks such as namkeen and gathiya and other snacks such as wafers, extruded snacks and snack pellets.