Nazara Technologies IPO subscribed over 8 times on day two so far; bidding window to shut tomorrow

The initial public offering (IPO) of Nazara Technologies received 8.11 times subscription on day two (18 March) of the bidding process so far. The public offering opened on Wednesday, 17 March, and will conclude on Friday, 19 March. The public issue received 33.33 times subscription in the retail investors’ category followed by 0.66 times in qualified institutional buyers (QIB) and 6.31 times in the non-institutional investors’ (NII) category. The Rakesh Jhunjhunwala-backed company had on day one received a 4.02 times subscription. Thirty-six percent subscriptions were made by QIBs, followed by 2.85 times by non-institutional investors and the retail individual investors (RIIs) were subscribed 16.75 times. The price band of the IPO is fixed at Rs 1,100 to Rs 1,101 per equity share and is expected to get over Rs 583 crore at the upper end of the price band. There are four lead managers of the offer namely ICICI Securities, IIFL Securities, Jefferies India and Nomura Financial Advisory and Securities (India) while the registrar of the IPO is Link Intime. According to the red herring prospectus document of the offer with the Securities and Exchange Board of India (SEBI), as of March 2020, Jhunjhunwala holds 11.77 percent stake in the company. The company has raised Rs 261.31 crore from anchor investors on Tuesday, March 16. The IPO is expected to get listed on BSE and National Stock Exchange (NSE) on 30 March, 2021. The main purpose behind the public offering is to use the proceeds to achieve the benefits of listing Equity Shares on the Stock Exchanges which will also enhance the company’s brand name and provide liquidity to the existing shareholders.