Rossari Biotech initial public offering (IPO) was subscribed nearly 60 per cent on the first day of bidding on Monday. The issue received bids for 49,30,030 equity shares as against offer size of 81,73,530 equity shares (excluding the anchor book portion). While the retail investor portion was subscribed 92 per cent, non-institutional portion was subscribed 11 per cent, the latest subscription data on the exchanges showed. The institutional investors' quota was subscribed 41 per cent.
The IPO is open for public subscription from July 13-15. The public offering holds significance since it's the first one to hit markets after a gap of four months. SBI Cards & Payment Services was the last company to float IPO in March. On Friday, Rossari Biotech said that it has raised Rs 149 crore from anchor investors.
The IPO comprises fresh issuance of shares worth Rs 50 crore and sale of 1,05,00,000 equity shares by company's promoters through offer-for-sale (OFS) route. At the upper end of the price band, the IPO size is about Rs 496 crore. Net proceeds from the issue will be utilised for funding working capital requirements, repaying certain debt availed by the company and for general corporate purposes.
Axis Capital and ICICI Securities are the merchant bankers for the share-sale. The anchor investors include Abu Dhabi Investment Authority, HDFC Mutual Fund, Axis Mutual Fund, ICICI Prudential Mutual Fund, SBI Mutual Fund, Sundaram Mutual Fund, HDFC Life Insurance Company and Goldman Sachs India.