The Hindu Business Line : Divi's Laboratories IPO oversubscribed by 19.5 times

THE initial public offer of Divi's Laboratories Ltd (DLL), the Hyderabad-based pharmaceutical company specialising in contract research, has been oversubscribed by nearly 19.5 times.

While the IPO was for 32,04,684 equity shares through 100 per cent book-building route aimed at discovering efficient price, the public offer received applications for 6,24,82,900 shares at or above the floor price of Rs 130 per share.

In a press release here on Saturday, the company said the maximum offers were received at a bid price of Rs 140.

Under the book-building issue, 60 per cent may be allotted to qualified institutional buyers under discretionary basis, 15 per cent under proportionate allotment for non-institutional investors and the balance 25 per cent of the issue size for retail investors under proportionate allotment for valid bids at or above the issue price.

The IPO opened on last Monday and closed on Friday. Investsmart India Ltd and Kotak Mahindra Capital Company Ltd were the book running lead managers to the IPO.

Of the 32.04-lakh shares offered through IPO, 12.69 lakh shares were of fresh issue and 19.35 lakh shares were of offer for sale from the existing equity shareholders. Pursuant to the IPO, the paid-up equity of the company would increase to Rs 12.82 crore from the existing level of Rs 11.55 crore.

The shares of Divi's Labs would be listed on Bombay Stock Exchange, National Stock Exchange and Hyderabad Stock Exchange.

Article E-Mail :: Comment :: Syndication

Stories in this Section
Delay in guidelines to avoid `conflict of interest' — UTI, sponsors mutual investments at standstill

Funds lack direction; await signal

HDFC Bank, ICICI Bank maintain upward trend

T+2 cycle: Fine-tune mechanism, say brokers

Banking on the divident cut

`We will maintain conservative approach' — Mr K.K. Mittal, V-P, Escorts Mutual Fund

Select sectors may attract attention in a crucial week

Divi's Laboratories IPO oversubscribed by 19.5 times

ICSI to set up `investor clinics'