Saraswati Saree Depot IPO Day 2: Issue subscribed over 10 times so far, NIIs lead; check key details

Saraswati Saree Depot IPO has received a robust response from investors, with the issue being subscribed over ten times so far on the second day of bidding.

The ₹160 crore initial share sale has attracted bids for 10.69 crore shares against one crore shares on offer, resulting in a subscription of 10.69 times.

The non-institutional investors (NIIs) category fetched 30.06 times the subscription, while the retail investors' portion was subscribed 14.61 times. The part set aside for qualified institutional buyers (QIBs) got 1.24 times subscription.

The IPO, which has a price band of ₹152-₹160 per share, is a mix of fresh issue of 64.99 lakh shares and an offer for sale or OFS component of up to 35.01 lakh shares.

The public offer is open for subscription from August 12 to August 14.

The company intends to use the net proceeds from the fresh issue to fund working capital requirements and general corporate purposes.

About Saraswati Saree Depot

The company operates in the business-to-business (B2B) saree wholesale segment, as well as the wholesale business of other women's apparel items like dress materials, kurtis, lehengas, blouse pieces, and bottoms.

The company started as a family business in 1966 and crossed ₹200 crore in sales in 2013-14. In 2017, the company started offering ready-made garments.

The company sources sarees from manufacturers in cities such as Surat, Madurai, Dharmavaram, Varanasi, Bengaluru, Kolkata, and Mau.

Saraswati Saree Depot operates from two stores situated in Kolhapur and Ulhasnagar.

The company's shares are expected to be listed on the NSE and the BSE.