Fri. Mar 29th, 2024
Exxaro IPO

On Wednesday, the first day of the bidding process for Exxaro Tiles’ initial public offering (IPO) was entirely subscribed. The initial public offering, which began on Wednesday and will end on August 6, is expected to earn Rs 161 crore for the firm. For its first public offering, this Gujarat-based company has chosen a price range of Rs 118-120 per share.

Exxaro Tiles got a strong reaction to its initial public offering (IPO), which was subscribed 3.57 times within hours of its opening on August 4.

According to the subscription statistics available on the exchanges, the offer had received bids for 4.08 crore equity shares already before midday, compared to the IPO size of 1.14 crore equity shares. The IPO consists of a fresh issue of Rs 134 crore worth of shares and a sale of Rs 27 crore worth of shares. Buying for one lot of 125 shares at the high end of the pricing range will set investors back at Rs 15,000.

According to data from IPO Watch and IPO Central, Exxaro Tiles shares traded at a premium of Rs 20 on the grey market.

Exxaro Tiles reduced its offer size from 1.34 crore equity shares to 1.14 crore equity shares after obtaining Rs 23.68 crore from anchor investors on August 3.

The funds from the IPO would be used to pay down the company’s current long-term debt of roughly Rs 50 crore, as well as for working capital and other corporate objectives, according to the company’s management.

Exxaro Tiles received Rs 23.68 crore from two anchor investors on Tuesday, distributing 19.73 lakh shares for Rs 120 each.

Gujarat-based Exxaro Tiles was founded in 2008 and has two manufacturing sites in Vadodara and Talod. Double charge vitrified tiles and glazed vitrified tiles are the two main categories of the company’s goods.

 

By Harshita Sharma

I bring to you updates from business, policy and economy spectrum.

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