Laxmi Organic IPO allotment today
Laxmi Organic Industries will finalise the allotment of its initial public offer on Monday. The IPO of the specialty chemicals manufacturer was subscribed a whopping 106.79 times, largely driven by huge interest from institutional investors.
According to the NSE data, the public offer garnered bids for 3,47,67,42,330 shares against 3,25,58,138 shares on offer. The portion for qualified institutional buyers (QIBs) was subscribed 175.43 times, non institutional investors 217.62 times and retail individual investors (RIIs) 20.06 times.
The initial public offer aggregating up to Rs 600 crore comprised a fresh issue of up to Rs 300 crore and an offer for sale of up to Rs 300 crore. The price range was fixed at Rs 129-130 per share. Laxmi Organic Industries had garnered Rs 180 crore from anchor investors ahead of the public issue.
The company will finalise the allotment of IPO today while the refunds will be initiated on March 23 (Tuesday). The shares of the company will be credited to demant accounts of investors on March 24. Laxmi Organic shares will be listed on the NSE and BSE on March 25.
The unlisted shares of Laxmi Organic in the grey market are commanding a premium of Rs 60, a sharp from Rs 90-92 from last week due top bearish market.
Net proceeds from the issue will be utilised for setting up a manufacturing facility for fluorospecialty chemicals, working capital requirements, purchase of plant and machinery and upgrading existing units. In addition, funds would be used for pre-payment or repayment of all or a portion of certain outstanding, besides general corporate purposes.
Incorporated in 1989, Laxmi Organic Industries is a leading manufacturer of ethyl acetate and the only maker of diketene derivatives in the country. The company has a global presence with customers in over 30 countries, including China, the Netherlands, Russia, Singapore, United Arab Emirates, the UK and the US.
