Anand Rathi Wealth IPO Subscription Status Day 2: Issue booked 3 times, led by strong demand from retail category - Highlights

LIVE UPDATES ...

4.00 pm: Anand Rathi Wealth IPO was subscribed 2.82 times so far. Retail subscription stands at 4.50 times and NIIs 2.78 times 

1.00 pm: The IPO was subscribed 2.23 times. RIIs quota 3.56 times, NIIs 2.33 times  

12: 15 pm: Anand Rathi Wealth IPO was booked 2.13 times so far on Day 2. Retail portion subscribed 3.38 times, NIIs 2.27 times 

Anand Rathi Wealth IPO was subscribed 1.91 times around 11 am on Day 2. The issue received bids for 1,61,79,858 shares against reserved 84,75,000 stocks.  The IPO was subscribed 1.6 times around 05:00 pm on Day 1 on Thursday.

The retail portion was subscribed 3 times, while NIIs subscription reached over 2 per cent. The employees' quota also saw bids being made 0.44 times on Friday.

See Zee Business Live TV Streaming Below:

The retail portion of the initial public offer (IPO) saw bidding for 1,23,24,987 shares, against 41,12,500 stocks reserved for this category.    

The three-day Rs 660-crore initial public offer will conclude on December 6, 2021. Anand Rathi Wealth has fixed a price band of Rs 530-550 per share for the IPO.  The initial share sale is entirely an offer for sale (OFS) of 1.2 crore equity shares by promoters and existing shareholders.    

Half of the issue size has been reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors, while 35 per cent has been set aside for retail investors.  

The Investors can bid for a minimum of 27 equity shares and in multiples of thereafter.

Anand Rathi Wealth operates in the financial services industry with a focus on mutual fund distribution and the sale of financial products. The company commenced activities in fiscal 2002 and is AMFI registered mutual fund distributor. 

On whether retail investors should apply for this IPO or not, Zee Business Managing Editor Anil Singhvi said on Thursday that one cannot expect a huge listing gain from this IPO. However, he suggested to subscribe. "Apply for small listing gain and long-term," he said.    

Talking about this IPO, Arihant Capital recommended subscribing to the issue. "At the upper price band of Rs 550, the issue has been valued at a P/BV and a P/E multiple of 9.4x and 51x to its FY21 NAV of Rs 58.5 and EPS of Rs 10.9, respectively. The company has healthy fundamentals, good return ratios and has recorded strong AUM growth. The pricing of the IPO is a tad expensive compared to its peers. We recommend investors to subscribe for this IPO for listing gains," highlighted the report.