Rishabh Instruments IPO: QIB increased demand on the last day, offer closed after being subscribed 31.65 times

Along with the business week, today was also the last day of the initial public offering (IPO) of global energy efficiency solutions company Rishabh Instruments.

Today the company's IPO was subscribed 31.65 times due to heavy demand from institutional buyers. As per NSE data, the IPO received bids for 24,65,71,162 shares against 77,90,202 shares.

The IPO was subscribed to a total of 72.54 times by qualified institutional buyers (QIBs), 31.29 times by non-institutional investors, and 8.44 times by retail individual investors. Let us tell you that the equity shares of the company will be listed on BSE and NSE.

The company had made a fresh issue of equity shares up to Rs 75 crore in this IPO. In addition, the company had decided to sell up to 94.3 lakh equity shares through OFS by the promoter group shareholders and an existing investor.

The company had fixed a price band of Rs 418-441 per share for the IPO. The company raised Rs 147.23 crore from anchor investors a day before the IPO opened.

The proceeds from the issue of Rs 59.50 crore will be used for the expansion of its manufacturing facility in Nashik and for general corporate purposes.

DAM Capital Advisors, Mirae Asset Capital Markets (India), and Motilal Oswal Investment Advisors Limited are the book-running lead managers to the issue.

The Nashik-based company focuses on precision-engineered products with diverse applications in industries including electrical automation, metering and measurement, power, and automotive sectors.

An initial public offering (IPO) is a process by which a privately held company becomes a publicly traded company by offering its shares to the public for the first time.

A private company with a handful of shareholders shares ownership by going public by trading its shares. Through IPO the company lists its name on the stock exchange.