JSW Cement’s IPO was subscribed 7.77 times.
Strong interest from institutional and retail investors.
Highlights market confidence in the company’s expansion and growth outlook.
The initial public offer of JSW Cement Ltd, part of the diversified JSW Group, garnered 7.77 times subscription on the closing day of share sale on Monday.
The initial public offer (IPO) received bids for 1,40,91,39,588 shares against 18,12,94,964 shares on offer, according to NSE data.
Qualified Institutional Buyers (QIBs) portion fetched 15.80 times subscription while the category for non institutional investors got subscribed 10.97 times. Retail Individual Investors (RIIs) part received 1.81 times subscription.
JSW Cement on Wednesday mobilised ₹1,080 crore from anchor investors.
The company's IPO has a price band of R₹139-147 per share, valuing the 17-year-old firm at ₹20,000 crore at the upper end of the price range.
The IPO includes a fresh issue of Rs 1,600 crore of shares and ₹2,000 crore of shares through Offer-For-Sale (OFS).
According to the draft papers, the company will utilise proceeds worth ₹800 crore to part-finance a new integrated cement unit at Nagaur, Rajasthan, and ₹520 crore for payment of debt and the remaining funds for general corporate purposes.
JM Financial Ltd, Axis Capital, Citigroup Global Markets India, DAM Capital Advisors, Goldman Sachs (India) Securities, Jefferies India, Kotak Mahindra Capital Company and SBI Capital Markets are the book-running lead managers to the offer.
