The IPO market is witnessing decent investor participation as Milky Mist Dairy Food, Shiprocket and Behari Lal Engineering are currently open for subscription. Among the three issues, Milky Mist has emerged as the most subscribed issue so far, while Behari Lal Engineering also crossed the two-times subscription mark on the first day. Shiprocket, meanwhile, received nearly full subscription on Day 1.
Here is a comparison of the three IPOs based on their subscription figures and issue details.
Milky Mist IPO: 2.17 times subscribed on day 2
The non-institutional investors’ portion was subscribed 3.56 times, while the retail quota was subscribed 2.44 times. The Qualified Institutional Buyers (QIBs) category was subscribed 65 per cent.
Milky Mist had earlier raised Rs 465.30 crore from anchor investors.
The IPO will close on August 13, with the price band fixed at Rs 133-140 per share. The issue comprises a fresh issue of shares worth up to Rs 1,428 crore and an Offer-for-Sale (OFS) of up to Rs 125 crore.
The company plans to use the fresh issue proceeds for repayment or prepayment of borrowings, expansion and modernisation of its manufacturing facility at Perundurai in Tamil Nadu, and strengthening its cold-chain infrastructure.
The company also plans to establish whey protein concentrate, yoghurt and cream cheese plants, besides installing ice cream freezers and chocolate coolers.
Founded in Erode, Tamil Nadu, Milky Mist focuses on value-added dairy products, including paneer, cheese, curd, yoghurt, butter, ghee and ice cream. The company does not operate in the liquid milk segment.
The retail investors’ portion was subscribed 3.33 times, while the non-institutional investors’ category was subscribed 1.23 times. The QIB quota was subscribed 2 per cent.
Shiprocket had raised Rs 727.41 crore from anchor investors on Tuesday.
The IPO will close on August 14, with the price band fixed at Rs 92-97 per share. The issue comprises a fresh issue of equity shares worth up to Rs 885.50 crore and an OFS aggregating up to Rs 732 crore.
The company plans to use the fresh issue proceeds for marketing initiatives and strengthening its technology infrastructure. The funds will also be used for repayment or prepayment of certain borrowings, potential acquisitions and general corporate purposes.
At the upper end of the price band, Shiprocket will have a post-issue market valuation of around Rs 7,058 crore.
Backed by investors including Temasek and Zomato, Shiprocket has evolved from a shipping service provider into a full-stack e-commerce enablement platform serving direct-to-consumer brands and micro, small and medium enterprises.
Shiprocket’s shares are proposed to be listed on the BSE and NSE on August 19.
The Behari Lal Engineering IPO was subscribed 2.03 times on the first day of bidding on Wednesday. The Rs 302-crore issue received bids for 1,50,12,556 shares against 74,12,769 shares on offer, according to NSE data.
The retail portion was subscribed 2.69 times, while the non-institutional investors’ category was booked 2.11 times. The QIB segment was subscribed 73 per cent.
Behari Lal Engineering had raised Rs 90.48 crore from anchor investors on Tuesday.
The IPO will close on August 14, with the price band fixed at Rs 271-285 per share. The public issue comprises a fresh issue of shares aggregating up to Rs 93 crore and an OFS of up to 73.20 lakh equity shares.
The company will use proceeds from the fresh issue for purchasing and installing equipment and machinery, including computers and peripherals, along with related civil work at its manufacturing facilities. Funds will also be used for rooftop solar panels, repayment or prepayment of certain borrowings and general corporate purposes.
Behari Lal Engineering operates two manufacturing facilities at Mandi Gobindgarh in Punjab and has recently started construction of a third facility in Fatehgarh Sahib district.
The company manufactures metal rolls, engineering castings, alloy steel products and forging ingots for industries including steel, power and heavy engineering.
Shiprocket vs Milky Mist vs Behari Lal Engineering: IPO GMP comparison
Based on the subscription figures provided, Milky Mist is currently ahead with 2.17 times subscription on Day 2, followed by Behari Lal Engineering at 2.03 times on Day 1. Shiprocket stood at 97 per cent subscription on Day 1, although its retail category had already been subscribed 3.33 times.
| IPO | Issue size | Price band | Subscription | Closing date |
| Milky Mist | Rs 1,553 crore | Rs 133-140 | 2.17x (Day 2) | August 13 |
| Shiprocket | Rs 1,617.5 crore | Rs 92-97 | 97% (Day 1) | August 14 |
| Behari Lal Engineering | Rs 302 crore | Rs 271-285 | 2.03x (Day 1) | August 14 |
(Disclaimer: The above article is meant for informational purposes only and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
