BackTeamLease IPO subscribed 89% on day 2
The retail investor category has been oversubscribed four times
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New Delhi: The initial public offer (IPO) of staffing firm TeamLease Services was subscribed 89% on the second day of the offer on Wednesday.
The ₹ 423-crore IPO received bids for 25,72,185 shares against the total issue size of 28,92,063 shares, as per the NSE data till 1700 hours. The retail investor category has been oversubscribed four times, sources said.
The portion reserved for qualified institutional buyers (QIBs) was subscribed 28% while non-institutional investors mopped up 4%.
TeamLease Services has raised ₹ 190 crore through issue of shares to 15 anchor investors, including Goldman Sachs and Merrill Lynch. The shares were allotted to anchor investors at a price of ₹ 850 apiece, the upper end of the price band.
The IPO would close on Thursday and the price band is ₹ 785-850 per share. At the upper end, the share sale can fetch ₹ 423 crore. The offer will be made through a fresh issue aggregating up to ₹ 150 crore and an offer for sale of up to 32.2 lakh equity shares.
Proceeds from the IPO will be used for acquisitions and other strategic initiatives, upgradation of the existing IT infrastructure, working capital requirements and other general corporate purposes. IDFC Securities Ltd, Credit Suisse Securities (India) Pvt Ltd and ICICI Securities Ltd are the book running lead managers to the offer.
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