JSW Infra IPO booked 17% on Day 1 so far; retail investors lead bidding
Ahead of its IPO, JSW Infra raised Rs 1,260 crore from 65 anchor investors by allocating 10,58,82,352 shares at a price of Rs 119 apiece.
- Sep 25, 2023,
- Updated Sep 25, 2023 2:46 PM IST
The Rs 2,800 crore-IPO of JSW Infrastructure saw a tepid response during the initial few hours of the bidding process on day one. The issue was mostly subscribed by retail investors. The issue opened for subscription for bidding on Monday, September 25 and can be subscribed till Wednesday, September 27. JSW Infrastructure is offering its shares in the range of Rs 113-119 apiece and with a lot size of 126 equity shares and its multiples thereafter. The Rs 2,800 crore IPO of Sajjan Jindal-led JSW Group is entirely a sale of fresh issue of about 23.53 crore equity shares.
According to the data, investors made bids for 2,29,09,572 equity shares, or 17 per cent, compared to the 13,62,83,186 equity shares offered for the subscription by 1.10 pm on Monday, September 25. The bidding for the issue will conclude after three days.
The allocation for retail investors was booked at 71 per cent, while the portion for non-institutional investors saw a subscription of 14 per cent. However, the portion reserved for qualified institutional bidders (QIBs) did not have any bids as of the same time. JSW Infrastructure provides maritime-related services, including logistics services, cargo handling and storage solutions. The JSW Group company develops and operates ports and port terminals under port concessions. JSW Infra was the second largest commercial port operator in the country in terms of cargo handling capacity for FY 22. Jm Financial, HSBC Securities & Capital Markets, ICICI Securities, Credit Suisse Securities (India), Axis Capital, Dam Capital Advisors, Kotak Mahindra Capital Company and SBI Capital Markets are the lead managers to the issue, while Kfin Technologies is the registrar. JSW Infra raised Rs 1,260 crore from 65 anchor investors by allocating 10,58,82,352 shares at a price of Rs 119 apiece. Brokerage firms are mostly positive on the IPO of JSW Infra. Considering its strong parentage support, robust topline and bottomline growth, brownfield and greenfield expansion plans, healthy margin profile, and government initiatives like Sagarmala projects, Geojit Financial Services has a 'subscribe' rating on a long-term basis. JSW Infrastructure is the fastest growing port-related infrastructure company. It has a diversified customer base to include third-party customers across geographies by leveraging locational advantage and maximizing assets. Hence it is able to generate higher EBITDA margins and ROCE compared to Adani Ports, said Nirmal Bang. "It intends to leverage its presence in the non-major ports to provide fully integrated logistics solutions to its customers. JSW Infrastructure is being offered at reasonable valuations at 17.2x FY23 EBITDA and thus we recommend subscribing to the issue," it added.Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
The Rs 2,800 crore-IPO of JSW Infrastructure saw a tepid response during the initial few hours of the bidding process on day one. The issue was mostly subscribed by retail investors. The issue opened for subscription for bidding on Monday, September 25 and can be subscribed till Wednesday, September 27. JSW Infrastructure is offering its shares in the range of Rs 113-119 apiece and with a lot size of 126 equity shares and its multiples thereafter. The Rs 2,800 crore IPO of Sajjan Jindal-led JSW Group is entirely a sale of fresh issue of about 23.53 crore equity shares.
According to the data, investors made bids for 2,29,09,572 equity shares, or 17 per cent, compared to the 13,62,83,186 equity shares offered for the subscription by 1.10 pm on Monday, September 25. The bidding for the issue will conclude after three days.
The allocation for retail investors was booked at 71 per cent, while the portion for non-institutional investors saw a subscription of 14 per cent. However, the portion reserved for qualified institutional bidders (QIBs) did not have any bids as of the same time. JSW Infrastructure provides maritime-related services, including logistics services, cargo handling and storage solutions. The JSW Group company develops and operates ports and port terminals under port concessions. JSW Infra was the second largest commercial port operator in the country in terms of cargo handling capacity for FY 22. Jm Financial, HSBC Securities & Capital Markets, ICICI Securities, Credit Suisse Securities (India), Axis Capital, Dam Capital Advisors, Kotak Mahindra Capital Company and SBI Capital Markets are the lead managers to the issue, while Kfin Technologies is the registrar. JSW Infra raised Rs 1,260 crore from 65 anchor investors by allocating 10,58,82,352 shares at a price of Rs 119 apiece. Brokerage firms are mostly positive on the IPO of JSW Infra. Considering its strong parentage support, robust topline and bottomline growth, brownfield and greenfield expansion plans, healthy margin profile, and government initiatives like Sagarmala projects, Geojit Financial Services has a 'subscribe' rating on a long-term basis. JSW Infrastructure is the fastest growing port-related infrastructure company. It has a diversified customer base to include third-party customers across geographies by leveraging locational advantage and maximizing assets. Hence it is able to generate higher EBITDA margins and ROCE compared to Adani Ports, said Nirmal Bang. "It intends to leverage its presence in the non-major ports to provide fully integrated logistics solutions to its customers. JSW Infrastructure is being offered at reasonable valuations at 17.2x FY23 EBITDA and thus we recommend subscribing to the issue," it added.Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.