Netweb Technologies' IPO Oversubscribed with 4.34x Demand on Day 2

18 Jul 2023 , 12:15 PM

The initial public of computing solutions provider, Netweb Technologies Limited opens on July 17 and was subscribed 2.33 times by the end of day. On day 2, the issue was subscribed 4.34 times by 12.10 PM. Click here to subscribe the IPO.

On the first day of subscription, the issue received an enthusiastic response from employees and retail investors, followed by non-institutional investors (NIIs) and qualified institutional buyers (QIBs). The retail investors’ portion was subscribed 5.37 times, the employee portion was subscribed 10.98 times, the NIIs portion was subscribed 7.30 times, and the QIBs portion was subscribed 0.03 times. According to data from the BSE, the company has received bids for 3,84,22,830 shares against the 88,58,630 shares on offer. In the retail investors’ portion, bids were received for 2,40,79,140 shares against the 44,86,263 shares on offer for this segment.

The company aims to raise Rs 631 crore through the offering, which includes a fresh issuance of shares worth Rs 206 crore and a promoters’ offer to sell shares at Rs 425 each. The net proceeds from the offering will be used for various purposes, including covering civil construction costs for the building housing the surface mount technology (SMT) line, interior development, and the acquisition of machinery and equipment for the new SMT production line (SMT Line).

Equirus Capital Private Ltd and IIFL Capital Services Ltd are the book running lead managers of the public offering, while Link Intime India Private Ltd serves as the registrar to the issue.