Lemon Tree Hotels IPO subscribed 44 pc on Day 2 of bidding

The initial public offer of hospitality chain Lemon Tree Hotels was subscribed 44 per cent on the second day of the three-day bidding today. The IPO to raise Rs 1,038.68 crore received bids for 5,72,16,945 shares against the total issue size of 12,98,35,580 shares, data available with the NSE showed. The portion set aside for qualified institutional buyers (QIBs) was subscribed 1.43 times, non institutional investors 5 per cent and retail investors 4 per cent. The IPO is of up to 185,479,400 shares (including anchor portion of 55,643,820 shares) and would close tomorrow. The price band has been fixed at Rs 54-56.

Lemon Tree Hotels has raised Rs 311 crore from anchor investors. Kotak Mahindra Capital Company, CLSA India and J P Morgan India are managing the issue.

The company's shares are proposed to be listed on BSE and the National Stock Exchange.