The initial public offer (IPO) of the mobile marketing company Affle India has received an overwhelming response from investors on the final day for subscription, with non-institutional investors portion subscribed as much as 73 times.
The Rs 459 crore IPO of Affle was oversubscribed 86.42 times as it received bids for 29.19 crore shares against the total issue size of 33.78 lakh shares till 4 pm, as per data available on the National Stock Exchange (NSE).
The qualified institutional buyers (QIBs) segment was oversubscribed 25 times and non-institutional investors category by 73.54 times, while the retail individual investors (RIIs) saw 2.79 times subscription.
Shares were allotted at the upper end of the price band fixed at Rs 740-745 apiece, which opened for bidding on July 29.
Listing on both the major exchanges NSE and BSE, the IPO, which is a 100 % book built issue IPO type at the face value of Rs 10 with a minimum order quantity of 20 equity shares (Lot size).
The IPO offer (a combination of fresh and OFS) summarises a fresh issue of 5,500,000 equity shares aggregating up to Rs 90 crore (Rs 900 million) (20% of the issue size) and an offer for sale of Rs 367-369 crore (80%) - by the promoter. Affle will not receive any proceeds from the offer for sale.
Post the IPO, promoter holding in Affle India will drop to about 68.4% from 92.17%.
ICICI Securities Limited, Nomura Financial Advisory and Securities (India) Private Limited are the Book Running Lead Managers to the offer.
Affle IPO has raised Rs 206.55 crore by allotting a little over 27.7 lakh shares to 15 anchor investors, of which 10 lakh shares are allotted to 5 Mutual Funds, comprising 36.31% of the anchor investor's portion.
Affle India's IPO becomes the first offer under the new Unified Payment Interface (UPI) mechanism, which was made mandatory for the retail investor category with effect from July 1, 2019.
Incorporated in 2005, Affle (India) Limited is a leading global technology company with a proprietary consumer intelligence platform that delivers consumer acquisitions, engagements and transactions through relevant mobile advertising.
Most brokerages like Samco Securities, Centrum Broking and Choice Broking are positive on the Affle (India) IPO, have given 'subscribe' rating to the issue.
Edited by Rupa Burman Roy