Allots 27.22 lakh shares to five investors
Amusement theme park operator Adlabs Entertainment raised Rs 60 crore from anchor investors on Monday, 9 March 2015. The company allotted 27.22 lakh shares to five investors, which include Daiwa India, HDFC Infrastructure Fund, Axis Mutual Fund, L&T Mutual Fund and Forefront Alternative via IL&FS Trust Company. The shares were allotted at the lower end of its IPO price band at Rs 221 per share.
Among anchor investors, Forefront Alternative, a domestic hedge fund acquired by Edelweiss last year, brought 6.52 lakh shares, two funds under Axis MF acquired 4.34 lakh shares, two funds under L&T MF brought 6.78 lakh shares and the rest came from funds under Daiwa and HDFC AMC.
Anchor, or cornerstone investors, are institutional investors which are given allotment on a discretionary basis just before the opening of the IPO to instill confidence in the issue. Shares allotted to anchor investors have a lock-in for 90 days.
The Adlabs Entertainment's IPO opens today, 10 March 2015. The price band of the IPO is fixed at Rs 221 to Rs 230 per equity share. The issue closes on Thursday, 12 March 2015. Post the allotment to anchor investors, the firm is offering 1.76 crore equity shares through the IPO.
The issue comprisea a fresh issue of 1.83 crore equity shares and an offer for sale of 20 lakh equity shares by Thrill Park. The issue constitutes 25.44% of the post-issue paid-up equity share capital of Rs 79.90 crore. The issue offers a discount of Rs 12 on the issue price to retail individual bidders. The minimum bid lot is 65 equity shares and multiples of 65 equity shares thereafter.
The object of the issue is to repay or pre pay loan up to Rs 330 crore from a consortium of bankers. The rest is for general corporate purpose in addition to achieving the benefits of listing the equity shares on stock exchanges such as enhancing visibility and brand image among existing and potential customers and providing liquidity to the existing shareholders.
Adlabs Entertainment reported net loss of Rs 53.52 crore on net sales of Rs 72.15 crore in the six-month ended September 2014.
Adlabs Entertainment owns and operates Imagica-The Theme Park, Aquamagica-The water Park and family hotel Novotel Imagica Khapoli.
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