Your browser is currently blocking notification.
Please follow this instruction to subscribe:
X
Notifications are already enabled.
X

Infibeam Makes A Comeback on Day 3, IPO Subscribed 1.11 Times On Closing

Infibeam Makes A Comeback on Day 3, IPO Subscribed 1.11 Times On Closing

The Infibeam IPO, which started slow on its first day and was given a thumbs down by many analysts, made a comeback on the closing day today. As per NSE data (till 1700 hrs today), the issue received bids for 1,38,30,894 shares against the total issue size of 1,25,00,000 shares. This means that the INR 450 Cr. issue was oversubscribed at 1.11 times, thus making Infibeam the first Indian ecommerce firm to launch a successful IPO.

Data from BSE showed that high-net-worth individuals and corporates were active bidders in the issue. On BSE, HNIs and corporates subscribed it by 2.14 times.

bse demand

On NSE, QIBs subscribed it by 0.52 times.

nse demand

Interestingly, the issue which was just subscribed by a tepid 21% on the first day, had risen to 63% subscription level on the second day, receiving bids for  about 7.9 Mn shares.

bse2

The successful completion of the offer implies that perhaps Indian equity investors are now willing to invest in Indian ecommerce businesses.

Infibeam plans to use INR 235 Cr out of the IPO proceeds to set up a cloud data centre, and purchase property to shift the registered and corporate office (Ahmedabad). It also wants to use INR 67 Cr to purchase software and INR 38 Cr for setting up 75 logistics centres. The IPO will add to the INR 70 Cr worth cash it already has on its books.


Welcome to Flash Feed, your essential source for breaking news and innovation from around the web – bite-sized and updated all day.


Author

Shweta Modgil

Inc42 Staff

Passion for writing and interest in the start-up space brings Shweta to Inc.42. She has prior experience as a Research Analyst in the venture capital/ private equity space and the auto industry. Fiction writing is her other forte and her first book titled One Hundred Days published by Tara Press debuted in 2014.

Responses
https://inc42.com/flash-feed/wheelstreet-funding/
Loading Next…

Upcoming Events