Ratnaveer Precision Engineering IPO remained on investors’ radar as they put in bids for 18.71 crore equity shares, which were 15.88 times the issue size of 1.17 crore on September 5, the second day of bidding.
So far, the issue has been getting robust response from high networth individuals and retail investors, who have bought shares 30.72 times and 18.50 times the portions set aside for them. Qualified institutional investors have applied for 16 percent shares of the reserved portion, as per the bulk deals data available on exchanges.
Half of the offer size is reserved for qualified institutional buyers, and 15 percent for HNIs. The balance 35 percent is kept for retail investors.
The maiden public issue was subscribed 5.77 times on September 4, the first day of bidding.
The stainless steel-based products manufacturer aims to mop up Rs 165.03 crore via public offering, at the upper price band.
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The IPO comprises a fresh issue of shares worth Rs 135.24 crore, and an offer-for-sale (OFS) of Rs 29.79 crore, by promoter Vijay Ramanlal Sanghavi.
The price band for the offer is Rs 93-98 per share. The last day for bidding in the offer will be September 6.
The Gujarat-based company with four manufacturing units will be utilising net fresh issue proceeds for working capital requirements amounting to Rs 85 crore, and the remaining, excluding issue expenses, for general corporate purposes.
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Ratnaveer Precision Engineering provides finished sheets, pipes, solar roofing hooks, tubes, and washers to several industries including power, automotive, building and construction, oil & gas, electrical appliances, pharmaceuticals, and kitchen appliances.