Rossari Biotech IPO: First post Covid share sale a huge hit among investors, subscribed 79 times

The initial public offering (IPO) of Rossari Biotech was subscribed over 79 times on the last day of bidding on Wednesday. The Rs 500-crore IPO received bids for 64,87,33,645 shares against the total issue size of 81,73,530 shares, NSE data show.

The category allocated for qualified institutional buyers (QIBs) was subscribed 85.26 times and non-institutional investors 239.83 times. Retail investors sent 7.23 times bids for the portion allocated for them. The price range for the offer was fixed at Rs 423-425 per share.

The company raised Rs 149 crore from anchor investors. The IPO was subscribed nearly 60 per cent on the first day of bidding on Monday. On the second day on July 15, the issue was subscribed 2.97 times. The IPO received bids for 2,42,70,750 shares against the total issue size of 81,73,530 shares, show NSE data.

The firm plans to raise to raise Rs 500 crore through the share sale. The IPO comprises fresh issue of shares to the tune of Rs 150 crore and sale of more than 1 crore equity shares by the company's promoters through offer-for-sale route.

The issue size is expected at around Rs 494-Rs 496 crore. The face value of each share is Rs 2. Company's market capitalisation is pegged at Rs 2,207 crore.

The initial public offering (IPO) comprises a fresh issue of shares worth Rs 50 crore and an offer-for-sale of 1,05,00,000 equity shares including anchor portion of 35,02,940 equity shares.

Price range for Rossari Biotech IPO has been fixed at Rs 423-425 per share. At the upper end of price band, the IPO size is about Rs 496 crore.

Share Market LIVE: Sensex, Nifty trade muted amid weak Asian equities; Infosys, Wipro, TCS top gainers

Stocks in news: SBI Cards, Infosys, Yes Bank, L&T Infotech, SBI, GAIL and more

By Aseem Thapliyal