The initial public offering of the Chennai-based Data Patterns (India) Ltd, a specialist in Defence and Aerospace electronics system, issue was subscribed 119.62 times at the end of the three-day offer period on Thursday.

The issue, which kicked off for subscription on Tuesday, saw a strong institutional investor interest in the issue, according to stock exchange information.

The offer received bids for about 84.90 crore shares against the offered 70.97 lakh shares, according to exchange data.

Non-institutional investors’ portion was subscribed 254.22 times, while the portion set aside for qualified institutional buyers was subscribed 190.86 times. Retail investors had put in bid for 23.14 times against their quota.

The public issue comprises a fresh issue of ₹240 crore and an offer for sale of 59,52,550 equity shares by promoter and individual selling shareholders.

The company will utilise net proceeds from the fresh issue to the extent of ₹60.80 crore for prepayment / repayment of certain outstanding borrowings, ₹95.19 crore for working capital requirements, and ₹59.84 crore for upgrading and expansion of its existing facilities at Chennai and general corporate purposes, Rangarajan told newspersons in a virtual press meet last week.

The company is doubling the available floor area; building capacity to handle large and heavy equipment and integration of large radars and mobile EW system, satellite integration facility. “Our order book is worth nearly ₹600 crore as of September 2021,” he said.

Data Patterns has a net profitability growth of approximately 164 per cent between FY20 and FY21. In its 35 years, the company has designed and developed defence and aerospace electronics in areas like avionics, radars, electronic warfare, missile electronics and satellite/launch vehicle, he said.

The Ministry of Defence, Indian government space organisation, Bharat Electronics and HAL are some of the major customers, he added.