The initial public offering (IPO) of Monte Carlo Fashions was subscribed 7.83 times on the final day of the book building process...
The initial public offering (IPO) of Monte Carlo Fashions was subscribed 7.83 times on the final day of the book building process, showed stock exchange data as on 7:40pm IST on Friday. With the public issue successful, Ludhiana-based Monte Carlo is assured of raising at least R345 crore.
Qualified institutional buyers (QIBs) bid for 1.51 crore shares (13.957 times) of the 10.866 lakh shares reserved for the category. The retail book was subscribed 6.95 times as investors bid for 1.32 crore shares as against 19.016 lakh shares on offer. The non-institutional category was subscribed 1.71 times, exchange data showed.
The company had raised a little over R105 crore by allotting 16.29 lakh shares to anchor investors at R645 apiece. The company had set a price band of R630-645 per share. Goldman Sachs, Aditya Birla Private Equity Trust, DB International (Asia), Birla Sunlife Trustee Company, and Tata Mutual Fund are some of the institutional investors who invested in the IPO, according to stock exchange filing by the company.
The issue offers partial exit to Samara Capital backed Kanchi Investment whose stake will drop to 10.94% from the previous 18.51% stake it held before the issue. Promoter and promoter group stake will reduce to 63.63% from 81.06% prior to the issue and make the company compliant with Sebi’s minimum public shareholding guidelines. Sebi regulations require all listed companies to pare promoter holding to 75%.
Monte Carlo is the fifth company on the main board to hit the bourse this fiscal.