JSW Infra IPO, driven by retail investors, now fully subscribed
The initial public offering (IPO) of JSW Infrastructure has been subscribed 1.58 times on day 2 so far. The company has received bids for over 26 crore equity shares against the offer size of 13.62 crore. The retail investors' portion has been oversubscribed by 3.77 times, while Non Institutional Investors (NII) subscribed 2.35 times. Qualified Institutional Buyers (QIB), having the maximum quota of 75% in the offer, have subscribed 0.46 times so far.
Company overview and IPO Details
JSW Infrastructure is a port-related infrastructure company that provides cargo handling, storage solutions, logistics services, and other value-added services to customers. The company's IPO comprises a fresh issuance of Rs. 2,800 crore worth of shares, with no offer-for-sale component. The net proceeds from the offering will be invested in the company's fully owned subsidiaries, JSW Dharamtar Port Private Ltd. and JSW Jaigarh Port Ltd., to prepay or repay all or a portion of certain outstanding borrowings.
Breakdown of bids received by investor segment
As of 4:10pm on the second day of the IPO, JSW Infrastructure had received bids for 26,00,72,190 shares against 13,62,83,186 shares on offer. The retail investors' portion received bids for 10,52,17,686 shares against 2,47,78,761 shares on offer for this segment. The NII's portion received bids for 11,57,72,328 shares against 3,71,68,141 on offer for this segment. The QIB's portion received bids for 3,90,82,176 shares against 7,43,36,284 on offer for this segment.
Grey market premium and allotment details
The price band for the public issue is set at Rs. 113 to Rs. 119 per share, and the company aims to raise Rs. 2,800 crore through the IPO. The grey market premium of the IPO is currently around 12-15%. The company's IPO is available at a P/E ratio of 29.67x. The company will finalize the basis of allotment of IPO shares by October 3 and list its shares on the bourses on October 6, as per the IPO schedule.
