IRM Energy aims to raise Rs 545.4 crore via IPO…IRM Energy IPO has been subscribed 4.36 times on Day 2, receiving bids for 3.32 crore shares against the offer size of 76.24 lakh shares. Retail investors bid 4.36 times, high net-worth individuals bought 9.08 times and qualified institutional buyers picked 1.18 times the allotted quota.
The city gas distribution (CGD) company aims to raise Rs 545.4 crore via IPO. Ahead of the issue, IRM Energy raised Rs 160.35 crore from anchor investors. Quant Mutual Fund, DSP Mutual Fund, HDFC Life Insurance CompanySBI General Insurance Company, PNB Metlife India Insurance Company, ITI Mutual Fund, Bank of India Mutual Fund, and Nippon India took part in the anchor book….From the IPO proceeds, IRM Energy will spend Rs 307.26 crore for the development of the city gas distribution network in Namakkal and Tiruchirappalli in Tamil Nadu. The company will also use the proceeds to pay debt amounting to Rs 135 crore and the remaining funds will be utilised for general corporate purposes.
The price band for the public offer, which opened on October 18 and will close on October 20, has been fixed at Rs 480-505 per share. Investors can bid for a minimum of 29 equity shares and in multiples of 29 thereafter. Hence, the minimum investment by retail investors will be Rs 13,920. At the upper end, the bidding amount will increase to Rs 14,645….Rajiv Indravadan Modi, Cadila Pharmaceuticals and IRM Trust are the of the company. They together hold 67.94 percent shares, the draft red herring prospectus said. The remaining stake is held by public shareholders including Enertech Distribution Management with 28.65 percent shares and Shizuoka Gas Company with 2.94 percent
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