Indo Farm IPO Oversubscribed 6x On Day-1

New Delhi: The initial public offer of Indo Farm Equipment Ltd got subscribed nearly 6 times within hours of opening for bidding on Tuesday. The initial share sale received bids for 5,00,12,580 shares, as against 84,70,000 shares on offer, translating into 5.90 times subscription, as per NSE data till 11:57 hours. The Retail Individual Investors (RIIs) part fetched 8.54 times subscription, while the category for non-institutional investors got subscribed 7.61 times.

The quota for Qualified Institutional Buyers (QIBs) received 1 per cent subscription. Indo Farm Equipment on Monday said it has garnered a little over Rs 78 crore from anchor investors. The issue, with a price band of Rs 204-215 per share, will conclude on January 2. The Rs 260-crore initial public offering (IPO) has a fresh issue of 86 lakh equity shares and an Offer-for-Sale (OFS) of 35 lakh equity shares by promoter Ranbir Singh Khadwalia.

Proceeds from the fresh issue will be used to set up a new dedicated unit for expansion of the company’s pick & carry cranes manufacturing capacity, payment of debt, investment in the company’s NBFC subsidiary Barota Finance for financing the augmentation of its capital base to meet its future capital requirements.