The second day of Denta Water and Infra Solutions’ ₹220.50 crore initial public offering is seeing strong demand, with the subscription reaching over 17 times. The IPO, which closes on Friday, has a price band of ₹279-294 per share and consists of a fresh issue of up to 75 lakh shares.
Investors can bid for a minimum of 50 equity shares and in multiples of 50 thereafter. The IPO is being conducted through the book-building process, with allocation of not more than 50% to qualified institutional buyers, at least 15% to non-institutional investors, and a minimum of 35% to retail investors.
The offering has already received bids for 8,96,36,900 shares against the 52,50,000 offered equity shares. Non-Institutional Investors and retail portions are oversubscribed at 36.23 times and 17.67 times, respectively, while the Qualified Institutional Buyer Portion is subscribed 1.67 times.
The company raised ₹66.15 crore from anchor investors by allocating 22.50 lakh shares at ₹294 per share. Some of the participating foreign and domestic Institutions included Abakkus Diversified Alpha Fund-2, Persistent Growth Fund-Varsu India Growth Story Scheme 1, and Steptrade Revolution Fund.
The net proceeds from the IPO will be used for working capital requirements and general corporate purposes. Denta Water and Infra Solutions specializes in designing, installing, and commissioning water management infrastructure projects, with a focus on groundwater recharge projects and operations and maintenance services for projects. The company also undertakes construction projects on railways and highways.
SMC Capitals is the sole book-running lead manager for the IPO, with Integrated Registry Management Services Private Ltd serving as the registrar.
