The initial share sale of Anand Rathi Group’s brokerage arm, Anand Rathi Share and Stock Brokers Ltd, got subscribed 1.11 times on the second day of bidding on Wednesday.The three-day Initial Public Offer (IPO) received bids for 1,48,34,376 shares against 1,33,63,342 shares on offer, according to NSE data.
Strong demand from retail and HNI investors
The quota for non-institutional investors fetched 1.88 times subscription and that of Retail Individual Investors (RIIs) received 1.37 times subscription. The Qualified Institutional Buyers (QIBs) portion got subscribed 2 per cent.Anand Rathi Share and Stock Brokers on Monday announced raising a little over Rs 220 crore from anchor investors.
The shares are available for subscription at a price band of Rs 393-414 per share for the company’s Rs 745-crore IPO.
IPO proceeds and company profile
The broking firm’s IPO is entirely a fresh issuance of shares with no offer for sale (OFS) component. Proceeds of the IPO to the tune of Rs 550 crore would be allocated to fund the company’s long-term working capital requirements, and a portion would be used for general corporate purposes.
Anand Rathi Share and Stock Brokers Ltd provides a wide range of financial services, including broking, margin trading, and distribution of financial products, under the brand name ‘Anand Rathi’. Catering to a diverse clientele, the company serves retail investors, high-net-worth individuals (HNIs), ultra-HNIs, and institutional clients.Nuvama Wealth Management, DAM Capital Advisors, and Anand Rathi Advisors are the book-running lead managers to the offer.