The public issue of Udayshivakumar Infra continues to get good response from all kinds of investors on March 22, the third day of bidding. The infrastructure push and low issue size may be the key reasons behind the subscription numbers.
The offer has garnered bids for 7.45 crore equity shares against an IPO size of two crore shares subscribing 3.73 times, as per the subscription data available on exchanges.
High networth individuals have taken a lead among investors, in response to the issue, buying 5.91 times the allotted quota, while retail investors have bid 3.06 times the portion set aside for them. The reserved portion of qualified institutional buyers was subscribed 1.19 times.
The offer was subscribed 2.2 times on second day of bidding and 58 percent on first day.
The Rs 66-crore maiden public issue comprises only a fresh issue component, which may be other reason for getting good response.
The price band for the offer, which closes on March 23, has been fixed at Rs 33-35 per share. The issue was opened on March 20.
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The Karnataka-based road construction company will utilise the issue proceeds for incremental working capital requirements and general corporate purposes.