Shubhshree Biofuels Energy IPO booked 1.88 times so far on first day; check subscription updates and other key details

The initial public offering (IPO) of small and medium enterprise (SME) Shubhshree Biofuels Energy Ltd has opened for subscription today, September 9. The issue has seen decent response so far, getting subscribed 1.88 times times by 4 pm on the first day of bidding.

The non-institutional investors’ (NIIs) portion was booked 0.75 times, while retail investors category attracted 3.31 times the subscription.

The part has set aside for qualified institutional buyers (QIBs) is yet to receive any bids.

Shubhshree Biofuels Energy IPO offer size, price band and other key details

Shubhshree Biofuels Energy Limited IPO, which will close for subscription on September 11, is a book-built issue worth ₹16.56 crore. The offer is made up entirely of a fresh issuance of 13.92 lakh shares, with no offer-for-sale (OFS) component.

The price band for the Shubhshree Biofuels Energy IPO has been fixed at ₹113 to ₹119 per share. The minimum bidding quantity, or lot size, for an application is 1,200 shares.

This translates into a minimum investment amount of around ₹1.43 lakh for retail investors. Also, since the minimum bid quantity for high networth individuals is 2 lots, or 2,400 shares, the minimum investment amount for them is over ₹2.85 lakh.

Shubhshree Biofuels Energy has appointed Hem Securities Ltd as the book-running lead manager of the IPO, while Bigshare Services Pvt. Ltd has been hired as the registrar for the issue. The market maker for the issue is Hem Finlease.

Ahead of the launch of the IPO, Shubhshree Biofuels Energy has also raised ₹4.68 crore in its anchor investor round. The board of directors of the company, at its meeting held on September 6, finalised allocation of 3.93 lakh equity shares to three anchor investors at an allocation price of ₹119 per share. The investor list included names like Next Orbit Ventures Fund, Mint Focused Growth Fund PCC- Cell I, Craft Emerging Market Fund PCC – Citadel Capital Fund.

Shubhshree Biofuels Energy IPO allotment status and listing date

After the end of the three-day subscription period, the IPO share allotment status is expected to be finalised on Thursday, September 12. Shares of Shubhshree Biofuels Energy are tentatively scheduled to be listed on the NSE SME platform on September 16.

Shubhshree Biofuels Energy IPO objective

Shubhshree Biofuels Energy has earlier said that it intends to utilize the proceeds of the issue to fund the capital expenditure towards the installation of additional plant and machinery, to meet working capital requirements and for general corporate purposes.

About the company

Shubhshree Biofuels Energy Ltd is a leading contributor in biomass supply chain management in India. The company, established in 2013, is primarily engaged in the supply of biomass fuels, including biomass pellets and briquettes. The company caters to the needs of customers across recycled material, textile processing, pharmaceutical and metal sectors. Its customers are mainly from the northern states of India, especially Haryana, Uttar Pradesh, Rajasthan, and the NCR region.