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Primary markets continue to witness strong response from investors, as all three IPOs that ended today subscribed heavily. Among them, Happy Engineering was the star attraction, as the issue was subscribed 82.04 times, followed by Credo Brands Marketing (51.85 times) and RBZ Jewellers (16.86 times).
Happy Forgings, which came out with a price band of ₹808–850, received bids for 68.63 crore shares, against 89.65 lakh shares on offer. The quota set aside for retail investors received bids for 15.09 times, while that of non-institutions, generally referred to as high-networth individuals, was subscribed 62.17 times. Qualified institutions were the most aggressive, as the QIB portion was subscribed to a whopping 220.48 times.
Happy Forgings had allotted about 35.60 lakh shares at ₹850 a share to 25 anchor investors, raising ₹303 crore ahead of its initial public offering. The company proposes to use the proceeds for the purchase of equipment, plant, and machinery, the prepayment of all or a portion of certain outstanding borrowings availed of by the company, and for general corporate purposes.
The Mumbai-based Credo Brands Marketing, widely known for its Mufti brand clothing, also saw heavy participation from QIBs, as their quota was subscribed to 105 times. While HNIs portion received bids for 55.5 times, that of retail investors nearly 20 times.
The ₹549.80-crore IPO came out with a price band of ₹266-280. Ahead of the IPO opening, the company garnered ₹165 crore from anchor investors. The funds raised will go to promoters and other sellers, as the IPO was entirely an offer for sale by Kamal Khushlani, Poonam Khushlani, and Andrew Khushlani (promoters) and Concept Communication, Bela Properties, Jay Milan, and Sagar Milan (investor shareholders).
On the other hand, RBZ Jewellers saw strong attraction from retail investors. The ₹100-crore initial public offering from RBZ Jewellers, at a price band of ₹95-100, was subscribed to 24.74 times by retail investors. While HNIs portion received bids for 9.27 times, that of QIBs by 13.43 times.
The offer, a fresh issuance of one crore shares, is being made to finance the working capital requirements and for general corporate purposes.
The company garnered ₹21 crore from anchor investors.
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