Pennar Engineered IPO gets a slow start
VCCircle_Pennar_Engineered | Photo Credit: Existing investor Zephyr Peacock is looking to almost triple the value of its investment

Pennar Engineered Building Systems Ltd (PEBS) raised Rs 46.85 crore ($7 million) from a consortium of anchor investors including Nomura, Religare Invesco Mutual Fund, DSP Blackrock, HDFC Trustee Company, Birla Sunlife and others.

PEBS, a subsidiary of Hyderabad-based Pennar Industries Ltd, which delivers engineered steel building solutions, allocated 2.6 million equity shares to a total of 14 anchor investors at a share price of Rs 178 equity share.

DSP BlackRock picked the maximum number of shares aggregating to Rs 8.8 crore followed by Nomura Singapore (Rs 5.5 crore).

The company is now looking to raise Rs 112 crore more through the public issue that will close on August 27,2015.

PEBS will raise around Rs 58 crore (around $9.2 million) while the rest of the money will go to private equity firm focused on small and medium enterprises Zephyr Peacock besides the promoter group and special situations investor Eight Capital and its managing partner Vikram Chachra.

Zephyr Peacock is looking to almost triple the value of its investment.

Meanwhile, the company's issue started on a slow note with just 2.5 per cent of the IPO covered on day 1.

Incorporated in 2008, PEBS delivers engineered steel building solutions for commercial, industrial, logistics, aviation, agriculture, sports stadia and other sectors.

The issue is being managed by Motilal Oswal, Axis Capital and Karvy. For more details on the IPO click here.

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