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The initial public offering of Laurus Labs was fully subscribed about 4.5 times on the final day of bidding on Thursday.
The IPO received bids for 9.77 crore shares as against the total issue size of 2.19 crore shares. About 1.37 crore shares were tendered at the cut-off price.
The company has set a price band at ₹426-428 for the public issue.
OFS, fresh issue Laurus Labs plans to raise about ₹1,330 crore through the offer, which consists of 2.41 crore share sale under offer-for-sale and fresh issue worth up to ₹300 crore. The selling shareholders are Aptuit, Bluewater, FIL Capital Management and FIP (acting through its trustee FIL Capital Advisors).
The portion reserved for qualified institutional buyers received a strong response as it notched up over 10.5 times subscription. As against an offer for 61.74 lakh shares, the portion received bids for 6.5 crore shares. Retail investor and non-institutional investor portions just managed to scrape through.
Ahead of the IPO, the company had raised over ₹395 crore by allotting shares to 25 anchor investors. These include Goldman Sachs India, Nomura Trust and Banking, HBM Partners, SBI Mutual Fund, DSP BlackRock, I-Pru MF, Morgan Stanley Investment Holding Co (Mauritius) Ltd, Tata AIA Life Insurance, Kotak MF, Eastspring Investments India Equity Open Ltd, DB International (Asia) Ltd and Government Pension Global Fund.
The Hyderabad-based firm plans to utilise the net proceeds from the fresh issue towards pre-payment of term loans and general corporate purposes.
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