In demand! Tolins Tyres IPO oversubscribed 3x on Day 2; All details here

Tolins Tyres IPO was oversubscribed nearly three-fold on Day 2, after receiving bids for 21.9 million shares, against 7.5 million shares on offer

Tolins Tyres' initial public offer (IPO) got a thumbs up from D Street and got oversubscribed on day 2 of the issue opening. As of 11:36 AM, the IPO had received bids for 2,18,55,108 shares, out of the 74,88,372 shares on offer.

So far, Tolins Tyres' IPO has been subscribed 2.92 times on the NSE, with Retail Individual Investors (RIIs) showing the most interest, among others. The section reserved for retail section was subscribed 5.07 times, while the section reserved for Non Institutional Investors (NII) was subscribed 1.63 times, and Qualified Institutional Buyers(QIBs) bid 0.12 times.

Grey market sources suggest a decent listing for the tyre-maker, with 17 per cent premium.

 

Tolins Tyres IPO details

Tolins Tyres Ltd initial public offering (IPO) began on September 9, 2024. The IPO is a book-built issue of Rs 230 crore that includes a fresh issue of 8.8 million shares, amounting to Rs 200 crore, and an offer for sale of 0.013 million shares, adding up to Rs 30 crore.  

Investors can apply for the IPO until Wednesday, September 11, 2024. Meanwhile, the price band for the IPO has been fixed between Rs 215 and Rs 226 per share.

The IPO's allotment date is likely to be finalised on Thursday, September 12, 2024. Tolins Tyres is likely be listed on the BSE and NSE on Monday, September 16, 2024, its tentative listing date. The minimum lot size for the application is 66 shares, which equals to Rs 14,916.

The company intends to use the proceeds from the new issue to repay some outstanding loans, supplement long-term working capital requirements, and invest in its subsidiary.

Saffron Capital Advisors Pvt Ltd is the book running lead manager of the Tolins Tyres IPO, while Cameo Corporate Services Ltd is the registrar for the issue.

About Tolins Tyres

Tolins Tyres provides tyre retreading solutions in India and exports them to 40 countries.

The company manufactures a range of products, including tyres for two-wheelers, three wheelers, light commercial vehicles, agricultural tyres, tread rubber, and various accessories such as bonding gum, tyre flaps, and vulcanizing solutions.

The company operates three manufacturing facilities. It has 163 stock-keeping units (SKUs) in the tyre category. The company also operates eight depots and has a network of 3,737 dealers, nationwide.