VA Tech Wabag, a provider of water treatment solutions, has received robust response from institutional investors for its IPO and was oversubscribed 15.2 times by the end of the third day of issue today.
In the portion reserved for the qualified institutional buyers (QIBs), the initial public offering was oversubscribed 36.13 times, as per the data available with the National Stock Exchange.
Today was the last date for QIBs to bid for the IPO. The offer, which opened on September 22, ends on September 27 for retail and high networth individuals.
In total, the issue got bids for over 4.75 crore shares, as against 31.28 lakh equities on offer, the NSE data showed.
The Chennai-based company has entered the capital market with its initial public offering in the price range of Rs 1,230 to Rs 1,310 per share.
As per the NSE data, by the end of third day, the IPO was subscribed 84 per cent in the HNI category and 27 per cent in the portion reserved for retail buyers.
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VA Tech Wabag has entered the capital market with a public issue of Rs 451.37 crore to Rs 472.59 crore, which includes a fresh issue of 9.54 lakh to 10.16 lakh equity shares that will form 9.1 to 9.6 per cent of the post-issue equity base.
The issue comprises offer for sale of 2,653,383 shares from the selling shareholders--India Advantage Fund I, Dynamic India Fund I, Rainbow Fund Trust, GLG Emerging Markets Fund and Passport India Investments (Mauritius).
The promoter and promoter group's holding in the company currently stands at 34.3 per cent, which will dilute to 31 to 31.2 per cent post-issue based on the upper and the lower end of the price band, respectively.
The firm provides a range of procurement and construction solutions for sewage treatment, processed and drinking water treatment, effluents treatment, sludge treatment, desalination and reuse of water for institutional clients like municipal corporations and companies in the infrastructure sector.