The ₹224-crore issue of Mangaluru-based Mukka Proteins saw a robust response on Day 1 of issue opening on Thursday. The IPO came out with a price band of ₹26-28. The initial public offering closes on Monday, March 4. Investors can bid for a minimum of 535 equity shares and in multiples of 535 equity shares thereafter.

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The IPO was subscribed 2.47 times, thanks to a strong response from retail investors and non-institutions (HNIs).

The issue is being made through the book-building process, wherein not more than 50 per cent of the issue would be available for QIBs, not less than 15 per cent for non-institutional bidders, and up to 35 per cent for retail investors.

While retail portion was subscribed 3.70 times, that of HNIs 1.55 times. Qualified institution portion received 100 per cent or one time. Overall, the issue received bids for 13.85 crore shares against 5.60 crore shares (net off anchor portion).

The company, that manufactures fish meat, fish oil and fish soluble paste, an essential ingredient in the manufacture of aqua feed (for fish and shrimp), poultry feed (for broiler and layer) and pet food (dog and cat food), garnered ₹67.20 crore from anchor investors ahead of its initial public offering on Thursday. The company has allocated about 2.40 crore shares at ₹28 a share on Wednesday to anchor investors, including Neomile Growth Fund, Saint Capital Fund, Zinnia Global Fund PCC, Eminence Global Fund PCC, Craft Emerging Market Fund PCC and Elara India Opportunities Fund.

The company intends to use the net proceeds for general corporate purposes; investment in its associate: Ento Proteins Private Limited and its working capital requirements, and working capital requirements for itself.

Currently, Mukka Proteins operates at six production facilities, four of which are situated in India and two are owned through its foreign subsidiary, Ocean Aquatic Proteins LLC (Oman).

Besides, the company has also engaged into contractual agreements with third-party production plants in Sasihithlu, Udupi and Ullal (Karnataka), Taloja (Maharashtra), Porbandar and Mangrol (Gujarat).

Fedex Securities Pvt Ltd is the sole book-running lead manager and Cameo Corporate Services Ltd is the registrar to the offer. The equity shares are proposed to be listed on the BSE and NSE.