 "Footwear retailer Metro Brands IPO receives 27% subscription on first day")
Footwear retailer Metro Brands Ltd's initial public offer got subscribed 27 per cent on the first day of the offering on Friday.
The company, which is backed by ace investor Rakesh Jhunjhunwala, on Thursday raised more than Rs 410 crore from anchor investors.
The Initial Public Offer (IPO) received bids for 51,06,330 shares against 1,91,45,070 shares on offer. This translates to a subscription of 27 per cent, according to data available with the BSE.
The Retail Individual Investors (RIIs) portion got 52 per cent subscriptions while the quota for non-institutional investors received 2 per cent subscriptions. There were no bids for the Qualified Institutional Buyers (QIBs) category on the first day, as per the data.
The IPO comprises fresh issuance of equity shares worth Rs 295 crore and an offer for sale of 2.14 crore equity shares by promoters and other shareholders. The promoters will offload nearly a 10 per cent stake. For the offer, the price band is Rs 485-500 per share. On the upper end of the price band, the public issue is expected to fetch Rs 1,367.5 crore.
The proceeds from the fresh issue will be utilised towards expenditure for opening new stores of the company, under the 'Metro', 'Mochi', 'Walkway' and 'Crocs' brands and for general corporate purposes.
Currently, the company has 598 stores in 136 cities spread across the country.
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