IPO of Tega Industries subscribed 4.67 times
PremiumRetail investors placed bids for 7.51 times the shares reserved for them. Non-institutional investors bid for 4.17 times of their quota, while institutional investors subscribed 0.07 times.
Kolkata-based Tega Industries Ltd’s initial public offering (IPO) sailed through within an hour on the first day on Wednesday thanks to retail and high net-worth investors.
At 5 pm, the overall book, excluding the anchor allotment, was subscribed 4.67 times after getting bids for about 44.66 million shares, according to stock-exchange data. Retail investors placed bids for 7.51 times the shares reserved for them. Non-institutional investors bid for 4.17 times of their quota, while institutional investors subscribed 0.07 times.
At the upper price band of ₹453, Tega Industries Ltd is demanding a PE multiple of 18.79x FY21 earnings, which is lower than the industry average of 31.71x. The company’s price to sales ratio is at 3.73x FY21 revenue.
Meanwhile, the ₹7,249 crore initial share sale of Star Health & Allied Insurance Co. Ltd continued to get weak response for its IPO on the second day.
The overall book, excluding the anchor allotment, was subscribed just 20%, or 0.20 times. As of 5 pm, the retail investors, whose investments cannot exceed ₹2 lakh in an IPO, applied for 89%, or 0.89 times, the shares on offer.
MINT PREMIUM See All
Never miss a story! Stay connected and informed with Mint. Download our App Now!!