The initial public offering of Paras Defence and Space Technologies has seen what is said to be the biggest response ever in India’s IPO history by being subscribed 304 times.

The modest ₹170-crore IPO, which opened on Tuesday, had seen a robust subsription from the word go. The price band of the issue is ₹165-175 a share.

Retail portion 113 times

The portion reserved for retail investors was subscribed 112.81 times and the non-Institutional Investor category, generally known as HNIs, 927.70 times. The Qualified Institutional Buyer category was subscribed 169.95 times.

Overall, the issue was subscribed 304.26 times making it the most subscribed IPO in the history, followed by Salasar Technologies with 273.05 times, Apollo Micro Systems was subscribed 248.5 times.

Equity shares

The offer comprises a fresh issuance of equity shares aggregating to ₹140.60 crore and an ‘Offer for Sale’ of up to 17,24,490 equity shares worth ₹30.18 crore, by exiting shareholders.

Paras Defence and Space Technologies, an ‘indigenously designed developed and manufactured’ category private company, had on Monday raised ₹51 crore from anchor investors. The company allocated 29,27,485 equity shares at an upper band of ₹175 a share to anchor investors such as Ashoka India Equity Investment Trust, Abakkus Emerging Opportunities Fund, Saint Capital Fund, Nippon Small Cap Fund and HDFC Focused 30 Fund.

Paras will use the IPO proceeds for capital expenditure, meet working capital requirement, repayment/pre-payment of all or a portion of certain borrowings/outstanding loan facilities and general corporate purposes. Anand Rathi Advisors Limited is the book running lead manager to the offer.