Dharmaj Crop Guard Ltd's initial public offering (IPO), which opened for subscription on Monday, was driven by strong response from non institutional investors, qualified institutional buyers, and retail investors on the third day. The issue was subscribed 35.49 times.
The company received bids for 28.4 crore shares against 80.12 lakh shares on offer, according to data from the BSE. The issue has closed today.
The non institutional investors' portion was subscribed 52.29 times. The company received bids for 8,96,31,420 shares against 17,14,200 on offer for this segment.
The retail investors' portion was subscribed 21.53 times. The company received bids for 8,61,18,600 shares against 39,99,800 on offer for this segment.
The portion set aside for qualified institutional buyers was subscribed 48.21 times. The company received bids for 10,81,90,140 shares against 22,43,990 on offer for this segment.
Further, the portion set aside for employees was subscribed 7.48 times.
The price band for the offer was determined at 216-237 rupees per equity share.
A fresh issue of equity shares worth 216 crore rupees and an offer-for-sale of up to 1,483,000 equity shares by current shareholders make up the issue.
The net proceeds of the fresh issue will be utilised to fund capital expenditure towards setting up of a manufacturing facility at Saykha, Bharuch, Gujarat, working capital requirements, repayment or pre-payment of loans and general corporate purposes.
According to DRHP, the Gujarat-based company is an agrochemical company engaged in the business of manufacturing, distributing, and marketing of a wide range of agro chemicals such as insecticides, fungicides, herbicides, plant growth regulator, micro fertilizers and antibiotic to the B2C and B2B customers.
The company's issue was subscribed 1.79 times on the first day, and was subscribed 5.97 times on the second day.
The agrochemical company will be listing on the bourses on December 8.
Broking houses like SBI Securities, Anand Rathi Shares and Stock Brokers, BP Equities, Canara Bank Securities, Marwadi Financial Services, Choice Broking and Swastika Investmart have given a 'subscribe' rating to the issue.