Raigad-based logistics company Navkar Corporation Ltd’s public issue crossed the one-third mark with its initial public offer (IPO) seeing applications for 36 per cent of the overall issue at the end of day 2, according to data collated by the stock exchanges.
As per the data available with the stock exchanges, while qualified institutional buyers’ (QIBs) portion saw 19 per cent subscription, HNIs & corporates and retail investors bid for 2 per cent and 60 per cent of their portions, respectively, as of the end of penultimate day.
Previously, Navkar Corporation, which provides container freight station services and trading activities, raised Rs 173 crore from a total of 15 anchor investors by allocating 11.6 million equity shares.
Navkar Corporation is looking to raise Rs 600 crore, comprising fresh issue of equity shares aggregating to Rs 510 crore ($82 million) and an offer for sale of Rs 90 crore ($14 million) by the selling shareholder namely Sidhhartha Corporation Pvt Ltd, a member of the promoter group, through the IPO.
Given the anchor allotment, the firm’s public issue is now worth around Rs 442 crore. The IPO opened to a slow response with just around 14 per cent of the issue picked on Monday. This was expected given the mayhem in the secondary market with the benchmark indices losing almost 6 per cent on Monday.
Founded in 1983, Navkar Corporation is promoted by Shantilal Jayavantraj Mehta and Nemichand Jayavantraj Mehta. The company’s services include packing, labelling/bar-coding, palletising, fumigation and other related activities at warehouses.
Axis Capital, Edelweiss and SBI Capital are managing the issue.