Snapdeal Parent AceVector's IPO Subscribed 96% on Day 2
AceVector, the parent company of Indian e-commerce platform Snapdeal, has seen its initial public offering (IPO) subscribed to 96% by the second day of bidding. Investors have bid for 7.16 crore shares against the 7.42 crore shares on offer.
AceVector, the parent company of Indian e-commerce platform Snapdeal, has reached 96% subscription for its initial public offering (IPO) by the second day of bidding. The company is seeking to raise ₹420 crore (approximately $50 million USD) through the issue.
Retail investors showed the strongest demand, oversubscribing their allocated portion by 1.11 times. Qualified institutional buyers (QIBs) also fully subscribed their quota, reaching a 1.01 times subscription rate. Non-institutional investors (NIIs) had subscribed 78% of their portion.
The IPO, which opened on September 25, is set to close on September 29. AceVector has set a price band of ₹30-₹32 per share, valuing the company at up to ₹1,741.4 crore (approximately $210 million USD). Shares are expected to list on the BSE and NSE on October 5.
Prior to the IPO opening, AceVector raised ₹189 crore from anchor investors. The company intends to use ₹132 crore of the fresh issue proceeds for Snapdeal's marketing and business promotion, and ₹50 crore for its technology infrastructure. The remaining funds will be allocated for acquisitions and general corporate purposes. AceVector, founded in 2010, also operates the e-commerce enablement platform Unicommerce.