S H Kelkar IPO subscribed 42% on Day 1

The Rs 500-crore initial public offer of fragrance maker S H Kelkar & Company has been subscribed 42 per cent on the first day of the issue today.
The IPO received bids for 84,01,680 shares against the total issue size of 2,02,34,342 shares, as per the NSE data till 1700 hours.
The portion reserved for qualified institutional buyers (QIBs) was subscribed 42 per cent, while non institutional investors category saw 1.05 times subscription.
Retail investors pie was subscribed 14 per cent, according to the NSE data.
The price band has been fixed at Rs 173-180 per equity share for the IPO. The company's public issue will close on October 30.

Of the total, the company will raise Rs 210 crore by issuing fresh shares, while the US-based private equity giant Blackstone will mobilise Rs 290 crore by offloading its 10 per cent stake in the company. In 2010, Blackstone had bought a 33 per cent stake in the company for Rs 243 crore.

S H Kelkar & Company has raised Rs 150 crore from anchor investors.
The IPO is being managed by JM Financial and Kotak Mahindra Capital Company. The scrip is proposed to be listed on the BSE and the NSE.
The company proposes to use the issue proceeds for repayment of loans as well as investment in its subsidiary K V Arochem Private Ltd and for other general corporate purposes.