Senco Gold‘s initial public offering (IPO) was subscribed 0.69 times on Tuesday, the first day of bidding for public subscription, with the retail portion receiving 1.12 times subscription.
Against an IPO size of 9.42 million equity shares, bids for 6.53 million were received till 5 pm on the first day of the proposed `405 crore IPO, according to data available on BSE.
For the retail individual investors (RIIs) portion, the public offer received bids for 5.26 million shares against 4.7 million shares set aside, the BSE data showed.
The IPO will remain open for public subscription till July 6.
The anchor investor portion of the initial public offering was subscribed fully on Monday, garnering Rs 121.50 crore. The company allotted around 3.83 million equity shares to 21 anchor investors at the upper price band of Rs 317 per equity share with face value of Rs 10 per share.
Out of the total allocation of 3.83 million equity shares to anchor investors, around 1.59 million equity shares (i.e. 41.52 % of the total allocation to anchor investors) were allocated to five domestic mutual funds through a total of 11 schemes.
Key marquee investors included Nippon MF, White Oak, Jupiter asset management, Bandhan MF, Max Life Insurance, Sundaram MF, Franklin Templeton MF.
The initial public offering comprises a fresh issue of equity shares aggregating up to Rs 270 crore and an offer for sale by SAIF Partners India IV of equity shares aggregating up to Rs 135 crore.
The price band of the offer has been fixed from Rs 301 to Rs 317 per equity share. Bids can be made for a minimum of 47 equity shares and in multiples of 47 equity shares thereafter.
IIFL Securities, Ambit and SBI Capital Markets are the book running lead managers to the IPO. The equity shares of the company are proposed to be listed on BSE and NSE.
Senco is the largest organised jewellery retail player in the eastern region of India based on number of stores. The company proposes to utilise the net proceeds of the fresh issue towards funding working capital requirement which is estimated to be around `196 crore and balance amount towards general corporate purposes.
The company’s revenue from operations grew at a CAGR of 23.80% from Rs 2,660 crore as of March 31, 2021 to Rs 4,077 crore as of March 31, 2023.