Zetwerk IPO Oversubscribed, Retail Investor Interest Muted
Manufacturing firm Zetwerk's initial public offering was oversubscribed on its final day. While institutional investors showed strong demand, retail investor participation was lower than anticipated.
Manufacturing company Zetwerk's initial public offering (IPO) was oversubscribed on the final day of bidding, according to data from the Bombay Stock Exchange (BSE). The offering received bids for 19.83 crore shares against the 18.51 crore shares available, marking an overall subscription of 1.07 times.
Qualified Institutional Buyers (QIBs) demonstrated the highest interest, oversubscribing their allocated portion by 1.44 times. Employees also oversubscribed their quota, with bids reaching 1.12 times the shares reserved for them.
Non-Institutional Investors (NIIs) subscribed 73% of their allocated portion. The retail investor segment saw a subscription rate of 51% of its reserved shares. The company had set a price band of ₹143-₹151 per share, implying a valuation of approximately ₹25,583 crore (around $2.7 billion) at the upper end.
The IPO consisted of a fresh issue of ₹2,830 crore and an Offer for Sale (OFS) of up to 14.45 crore shares. Prior to the public offering, Zetwerk raised ₹2,251.2 crore from anchor investors, including domestic mutual funds and global institutional investors.