Home >Markets >Ipo >Mrs Bectors IPO fully subscribed on day one on unabated retail frenzy

MUMBAI: The initial public offering (IPO) for Mrs Bectors Food Specialities Ltd was subscribed more than 1.5 times on day one of the bidding on Tuesday, led by retail investors.

The issue received bids for 20.83 million shares compared with 3.24 million on offer.

Also Read: Why Dalit students are facing a fund crunch in India’s educational institutions

Exchange data showed that the retail investor category was subscribed 2.96 times. The portion reserved for qualified institutional buyers, however, saw no subscription while that for high net worth investors was subscribed 0.25 times.

So far this fiscal, retail investors have invested heavily in IPOs. Previous such offerings in FY21 such as Burger King, Happiest Mind Technologies, Rossari Biotech Ltd, Route Mobile, Computer Age Management Services, Chemcon Speciality Chemicals and Mazagon Dock Shipbuilders saw the retail segment subscribed 46 to 157 times.

Mrs Bectors Food IPO comprises a fresh issue worth 40.50 crore and an offer for sale of 500 crore aggregating to 541 crore. The price band for the issue has been fixed at 286-288 a share.

Proceeds from the fresh issue will be used for financing the expansion of Rajpura manufacturing facility which will see the setting up of a new production line for biscuits, according to draft red herring prospectus filed by the company.

Mrs Bectors is one of the leading companies in the premium and mid premium biscuits segment in northern India with a market share of 4.5%.

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our App Now!!

Edit Profile
My ReadsRedeem a Gift CardLogout