IPO Wrap, Aug 7: Highway Infrastructure sees massive demand, JSW Cement booked 29% on day 1; check all other subscription updates

With two new mainboards and two SME initial public offerings (IPOs) opening for subscription on Thursday, August 7, the primary market witnessed a busy day. Meanwhile, Highway Infrastructure’s IPO ended its bidding process with a huge demand from the investors.

The two mainboard IPOs that opened for subscription were JSW Cement and All Time Plastics, while Sawaliya Food Products and Connplex Cinemas were the SME ones.

Here’s a look at the IPO market on Thursday:

Until 5 PM, the initial share sale received bids for a whopping 482,274,534,3 shares as compared to 16,043,046 shares on offer, as per exchange data.

• Qualified Institutional Buyers (QIBs): 420.57x

• Non-institutional Investors: 447.32x

• Retail Individual Investors (RIIs): 155.58x

The ₹130 crore IPO is expected to be listed on the stock exchanges on August 12.

Ahead of its IPO, the tollway operator firm had raised ₹23.4 crore from four institutional investors via anchor book on August 4. The company had allocated 33.4 lakh shares to anchor investors at ₹70 per share.

The issue was subscribed 0.29 times on the first day of bidding. It had received 52,107,720 bids against 18,129,4964 reserved shares.

• Qualified Institutional Buyers (QIBs): 0.23x

• Non-institutional Investors: 0.20x

• Retail Individual Investors (RIIs): 0.36x

The ₹3,600 crore initial public offering includes a fresh issuance of ₹1,600 crore and ₹2,000 crore of equity shares to be sold by current shareholders via the offer for sale (OFS) route.

Under the OFS, private equity giant Apollo Management, through its affiliate AP Asia Opportunistic Holdings Pte Ltd, State Bank of India (SBI) and Synergy Metals Investments Holding Ltd will offload shares.

Funds to the tune of ₹800 crore will be used to partially fund a new integrated cement facility at Nagaur, ₹520 crore for debt repayment, and the remaining funds for corporate general purposes.

At the end of day 1, the issue was subscribed 0.35 times and received 3,718,548 bids as compared to 10,546,297 shares reserved.

• Qualified Institutional Buyers (QIBs): 0.00x

• Non-institutional Investors: 0.33x

• Retail Individual Investors (RIIs): 0.55x

The initial share sale seeks to raise ₹400.60 crore by issuing new equity shares worth up to ₹280 crore and an offer-for-sale (OFS) aggregating to ₹120.6 crore.

Promoters Kailesh Punamchand Shah, Nilesh Punamchand Shah and Bhupesh Punamchand Shah are offloading their stake under the OFS component.

The IPO proceeds will be used for acquiring machinery for its Manekpur facility in Gujarat, debt repayment, corporate general purposes and other expansion efforts.

SME IPOs