Gandhar Oil Refinery Secures Rs 150.2 Crore from Anchor Investors Ahead of IPO

21 Nov 2023 , 09:18 PM

Gandhar Oil Refinery, a leading white oils manufacturing company, successfully raised Rs 150.2 crore through its anchor book on November 21, setting the stage for its upcoming maiden public issue. The IPO subscription window is scheduled to open from November 22 to 24, offering shares within a price band of Rs 160-169 per share.

Anchor Investor Allocations: Following discussions with merchant bankers, the Mumbai-based company finalized the allocation of 88,88,018 equity shares to anchor investors at Rs 169 per equity share. A total of 16 anchor investors participated, including renowned names such as Morgan Stanley, Societe Generale, Copthall Mauritius Investment, ICICI Prudential Mutual Fund, HDFC Mutual Fund, Whiteoak Capital, Ashoka India Equity Investment Trust, Turnaround Opportunities Fund, Aditya Birla Sun Life Insurance Company, and SBI General Insurance Company.

Domestic Mutual Fund Participation: According to the filing with exchanges, out of the total allocation, 42,28,576 equity shares were allocated to three domestic mutual funds, applying through a total of seven schemes.

IPO Details and Fund Utilization: Gandhar Oil Refinery aims to raise Rs 500.69 crore through its initial public offering at the upper price band. This includes a fresh issuance of shares worth Rs 302 crore and an offer-for-sale of 1.17 crore equity shares worth Rs 198.69 crore by promoters and investors. The fresh issue proceeds will be allocated towards repaying debts availed by Texol from the Bank of Baroda and purchasing equipment and facilitating civil work for expanding the capacity of automotive oil at the Silvassa plant.

Company Profile and Offer Reservations: Gandhar Oil Refinery, known for catering to the consumer and healthcare end-industries, offers over 440 products under its Divyol brand, spanning personal care, healthcare, performance oils, lubricants, and process and insulating oils. The IPO has reserved 50 percent of the net issue portion for qualified institutional buyers, 15 percent for high net worth individuals (non-institutional investors), and the remaining 35 percent for retail investors.