Advanced Enzymes’ initial public offering (IPO), which opened on Wednesday, was subscribed 0.89 times, as investors bid for 28 lakh shares of the total 32.34 lakh shares on offer. The offer consists of fresh issue as well as offer for sale (OFS) by existing promoters and investors.
The qualified institutional buyers (QIB) portion was subscribed 0.41 times as they bid for 3.79 lakh shares of the 9.18 lakh shares on offer for them. High net-worth individuals, on the other hand, bid for 1.13 lakh shares of the 6.86 lakh shares reserved for them, bidding 0.16 times. Retail investors bid for nearly 1.5 times of their quota or 23.94 lakh shares of the 16.02 lakh shares reserved.
Employees, who were offered a discount of `86 per share, bid for 272 shares of the 25,000 shares reserved for them.
The price band for the issue is `880-896 per share. The issue will close on July 22.
On Tuesday, the company allotted 13.71 lakh shares, aggregating to `122.85 crore to its anchor investors including DB International, Kuwait Investment Authority Fund, DSP BlackRock, HDFC Trustee, ICICI Prudential Midcap, Reliance Capital Trustee, Birla Sun Life , IDFC Imperial , SBI Life Insurance, Birla Sunlife Insurance, Tata AIA Life Insurance and Reliance Nippon, among others.
The enzyme manufacturer reported a net profit of `78.43 crore in FY 16 and a total revenue of `294.6 crore.
Healthcare and nutrition and bio-processing business of the company constitute 87.62% and 12.38% of its total revenue, respectively. The company counts Sanofi India, Cipla, Ipca and Emcure pharmaceuticals as its main customers.