IPO gets bids for 6.33 crore shares until 17:00 IST on the last day of bidding
Notwithstanding weakness in the secondary equity markets, the initial public offer (IPO) of Sadbhav Infrastructure Project (SIPL) was fully subscribed. Bids were received for a total of 6.33 crore shares until 17:00 IST on the last day of the bidding for the IPO today, 2 September 2015. The remaining 2.85 crore shares were being sold through the book building route after SIPL finalized allocation of about 2.03 crore shares to anchor investors ahead of the opening of the issue on 31 August 2015. The final IPO subscription data is expected by late evening.
SIPL raised Rs 210 crore by selling about 2.03 crore shares to a total of seven anchor investors before the opening of IPO. The shares will be allotted to the anchor investors at Rs 103 per share, the top end of the Rs 100 to Rs 103 per share price band for the IPO.
SIPL's IPO comprised of fresh issue of equity shares aggregating upto Rs 425 crore and an offer for sale of 64.71 lakh shares from two existing shareholders viz. Xander Investment Holding XVII and Nonvest Venture Partners VII-A-Mauritius. These two selling shareholders had put on block 32.35 lakh shares each.
Promoted by Sadbhav Engineering (SEL) and Vishnubhai Patel, SIPL was established to undertake roads, highways and related projects on a build-operate-transfer (BOT) basis for the Sadbhav group. The company's specialization is in development, operation and maintenance of highways, roads and related projects. The company intends to use about Rs 264.80 crore from the proceeds of the IPO for repayment and pre-payment of loans availed from ICICI Bank and from SEL. An amount of Rs 82 crore will be deployed towards equity investment and for advancing of sub-ordinate debt to subsidiary Shreenathji-Udaipur Tollway for part-financing of the project. The remaining funds will be used for general corporate purpose.
On consolidated basis, SIPL reported net loss of Rs 301.56 crore in the year ended 31 March 2015 (FY 2015), higher than net loss of Rs 155.94 crore in the year ended 31 March 2014 (FY 2014). Total sales rose 34.82% to Rs 500.30 crore in FY 2015 over FY 2014.
Powered by Capital Market - Live News