Capacit’e Infraprojects IPO subscribed 4.71 times on Day 2
Shares reserved for institutional investors in the Capacit’e Infraprojects IPO subscribed 5.64 times; those for retail investors were subscribed 6.08 times
The initial public offering (IPO) of Capacit’e Infraprojects Ltd, a Mumbai-based construction company, was subscribed 4.71 times on Thursday, the second day of the share sale, data from stock exchanges shows.
As of 5pm, the portion of Capacit’e Infraprojects shares reserved for institutional investors was subscribed 5.64 times, while those set aside for non-institutional and retail investors saw subscriptions that were 0.28 and 6.08 times the limit, respectively.
Capacit’e Infraprojects has priced its shares in a band of Rs245-250 for the share sale. The Rs400 crore IPO will see the company dilute a 24% stake.
The company is backed by Siddharth Parekh-led private equity firm Paragon Partners.
The IPO is a fresh issue of as many as 16 million new shares. The share sale will close on 15 September.
The company plans to use the funds for working capital requirements, purchasing capital assets and general corporate purposes.
Axis Capital Ltd, IIFL Holdings Ltd and Marathon Capital Advisory Ltd are advising the company on the IPO.
Capacit’e Infraprojects undertakes construction of residential, commercial and institutional buildings, primarily in the Mumbai metropolitan region, the National Capital Region centred on Delhi, and Bengaluru.
According to its IPO prospectus, Capacit’e Infraprojects had a total revenue of Rs853 crore in fiscal 2015-16, up 54% from a year ago. For the nine-month period ended 31 December 2016, it had a revenue of Rs847 crore.
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