New Delhi: The Rs543 crore IPO of footwear retailer Khadim India Ltd witnessed an overall subscription of 14% on the first day of its share sale.
As of 5pm, the portion of shares reserved for institutional investors did not see any subscription, while those set aside for retail investors and high net-worth individuals (HNI) were subscribed 28% and 1%, respectively. Khadim has set a price band of Rs745-750 per share for the IPO. The offer will close on 6 November.
The share sale includes the issue of fresh shares worth Rs50 crore. The proceeds from the fresh issue will be used for prepayment or scheduled repayment of all or a portion of term loans and working capital facilities availed by the company and to meet general corporate expenses.
Promoter Siddhartha Roy Burman plans to sell 722,000 shares, which at the upper end of the price band will fetch Rs54 crore, while Fairwinds Private Equity (formerly Reliance Equity Advisors) is selling 5.85 million shares worth Rs438 crore. Fairwinds, which currently holds 33% stake in Khadim, invested Rs90 crore in 2013.