The initial public offer (IPO) of Radiant Cash Management Services Ltd received a muted response from retail investors, qualified institutional buyers (QIB) and non-institutional investors, resulting in only 4 percent of the total offer being subscribed on Day 1.
The company received bids for 11,26,050 shares against 2,74,29,925 shares on offer, according to data from the BSE.
The QIB's portion was subscribed 0.05 times. The company received bids for 3,60,000 shares or 5 percent of the 78,37,121 shares on offer for this segment.
The retail investors' portion was subscribed 0.06 times. The company received bids for 7,54,650 shares or 6 percent of the 1,37,14,963 on offer for this segment.
The non-institutional investors' portion received bids for 11,400 shares against 58,77,841 on offer for this segment, while the employees' portion did not receive any response.
The issue that opened for subscription today, will close on Tuesday, December 27.
According to an exchange filing, the company has garnered ₹116.38 crore from anchor investors. On Thursday, December 22, the company informed the bourses that it allocated 1,17,55,681 shares at ₹99 per share to anchor investors.
Anchor investors include HDFC Trustee, Aditya Birla Sun Life Trustee, Emerging Business Fund, Alchemy Emerging Leaders of Tomorrow, Citigroup Global Markets, Dovetail India Fund, Societe Generale, BNP Paribas Arbitrage, UTI Mutual Fund, and Saint Capital Fund.
Out of the total allocation of 1,17,55,681 equity shares, 32,32,800 equity shares (27.50% of the total allocation to anchor investors) were allocated to three domestic mutual funds through a total of 5 schemes.
The company has fixed the price band at ₹94 to 99 per equity share for the proposed initial public offer.
Investors can bid for a minimum of 150 equity shares and in multiples thereafter.
The public offering, which has a face value of 1 rupee per equity share, consists of a fresh issue of shares worth ₹60 crore and an offer for sale (OFS) by existing shareholders of up to 3.31 crore equity shares.
IIFL Securities Limited, Motilal Oswal Investment Advisors Limited, and Yes Securities (India) Limited are the book running lead managers.
The equity shares are proposed to be listed on BSE and NSE.