Netweb Technologies IPO subscribed 90.36 times on final day of offer

The Initial Public Offering (IPO) of Netweb Technologies was subscribed 90.36 times on the final day of the offer on Wednesday, helped by overwhelming participation from all categories of investors, particularly institutional buyers.

The Rs 631 crore-initial share sale received bids for 80,04,52,380 shares against 88,58,630 shares on offer, according to an update on the National Stock Exchange (NSE).

The quota for Qualified Institutional Buyers (QIBs) was subscribed 228.91 times. 

The category for non-institutional investors was subscribed 81.81 times and Retail Individual Investors (RIIs) part got 19.15 times subscription.

The IPO, which had a price range of Rs 475-500 a share, had a fresh issue of up to Rs 206 crore and offer for sale of up to 8,500,000 equity shares. It was fully subscribed on the first day of the offer on Monday.

On Friday, the homegrown server maker had said it collected Rs 189 crore from anchor investors.

Proceeds of the fresh issue to the tune of Rs 32.77 crore will be used to fund capital expenditure, Rs 128.02 crore to support long-term working capital, and Rs 22.5 crore for debt payment, besides general corporate purposes.

Equirus Capital Pvt Ltd and IIFL Securities Ltd were the managers of the IPO.

The equity shares of the company will be listed on the BSE and the NSE.