Rekha Jhunjhunwala-backed Baazar Style Retail's Rs 835-crore IPO was oversubscribed 40.63 times on the final day of bidding. As per NSE data, the offer received bids for 61.07 crore shares, surpassing the 1.50 crore shares available.
The issue for the Qualified Institutional Buyers (QIBs) segment was oversubscribed by 81.83 times, whereas the non-institutional investor category saw a 59.41 times subscription. The Retail Individual Investors (RIIs) portion was subscribed 9.07 times.
Last week, the company disclosed that it had collected Rs 250 crore from anchor investors. The price band for the offer is Rs 370-389 per share.
The IPO is a combination of a fresh issue of equity shares worth Rs 148 crore and an offer for sale (OFS) of up to 1.76 crore shares valued at Rs 687 crore (at the upper end of the price band) by promoter group entities and other selling shareholders.
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Proceeds from the fresh issue, to the extent of Rs 146 crore will be used for payment of debt and the remaining funds will be used for general corporate purposes.
Earlier this month, the Kolkata-based company raised Rs 37 crore from Volrado Ventures Partners Fund II in a pre-IPO placement round.
Accordingly, the fresh issue size was reduced. Bazaar Style Retail is one of the leading players in the value retail market in West Bengal and Odisha.
Additionally, its other core and focus markets include Assam, Bihar, Jharkhand, Andhra Pradesh, Tripura, Uttar Pradesh and Chhattisgarh.
Axis Capital, Intensive Fiscal Services and JM Financial are the book-running lead managers to the issue.
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The primary market is experiencing increased investor interest, with strong debuts on Dalal Street signalling a promising outlook for upcoming listings. However, concerns around valuation continue to loom, especially for SME IPOs.
(With inputs from PTI)
