The initial share sale of Atlanta Electricals Ltd, manufacturer of power, auto and inverter duty transformers, fetched 70.63 times subscription on the final day of bidding on Wednesday.The initial public offer (IPO) received bids for 46,17,87,742 shares against 65,38,439 shares on offer, according to details available with the NSE.
Overwhelming response from Institutional Investors
The Qualified Institutional Buyers (QIBs) portion received a huge 194.92 times subscription.
The quota for non-institutional investors attracted 54.20 times subscription, and the category for Retail Individual Investors (RIIs) got subscribed 10.42 times.Atlanta Electricals Ltd on Friday said it has raised Rs 205 crore from anchor investors.The company’s Rs 687-crore initial public offering (IPO) has a price band of Rs 718-754 per share, valuing the company at roughly Rs 5,800 crore at the upper end.
The Gujarat-based company’s IPO is a combination of a fresh issue of equity shares worth Rs 400 crore and an offer for sale (OFS) of 38.1 lakh equity shares valued at Rs 287 crore at the upper end of the price band, by a promoter and other selling shareholders.
IPO details and funding objectives
The company proposes to utilise the proceeds from the issue for payment of debt, supporting working capital requirements of the company and for general corporate purposes.Motilal Oswal Investment Advisors and Axis Capital are the book-running lead managers to the issue.