Varun Beverages IPO Hits The Ground Running On Day 1
The portion reserved for qualified institutional buyers saw the highest subscription.
The IPO of Varun Beverages, PepsiCo's largest franchise bottler, was subscribed 34 percent on the first day of the offer on Wednesday.
The offer received bids for 59,41,947 shares against the total issue size of 1,76,50,000 shares, as per NSE's data till 5:00 PM.
Qualified institutional buyers (QIBs) category saw 88 percent subscription and that of non institutional investors 18 percent. Retail investors quota received 11 percent subscription.
Varun Beverages on Tuesday raised over Rs 327 crore by allotting shares to anchor investors.
The initial public offer of Varun Beverages, that entails sale of up to 2.5 crore shares, will close on October 28.
The company has fixed the price band at Rs 440-445 per share. At the upper end, the company would raise Rs 1,112.50 crore through the offer.
Proceeds of the issue would be utilised for capital expenditure, repayment of loans and other general corporate purposes.
The issue is being managed by Kotak Mahindra Capital Company, Axis Capital, CLSA India and YES Securities (India) Ltd.
