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IPO: Over the past few weeks, investors have been betting heavily on initial public offerings, or IPOs. The IPO of the second company in this sequence is slated to hit the market on September 14. The company is a financial technology product and service provider Zaggle Prepaid Ocean Services. The company through this IPO raised approximately Rs. 563 crore planned to be raised. In this through fresh issue Rs. 392 crores while the offer for sale of 1,04,49,816 equity shares through offer for sale by 8 selling shareholders including promoters Raj P Narayanam and Avinash Ramesh Godkhindi.
563.38 crore plan to raise
Company in August 2023 Rs. 164 per share at Rs. A pre-IPO placement of 59.75 lakh equity shares worth Rs 98 crore was done. If the offer price of IPO is Rs. 164 per share, the total issue size would be Rs. 563.38 crores (Fresh Issue Rs. 392 crores + Rs. 171.38 crores OFS).
Who will get how much share?
Through the IPO, the firm has reserved 75 percent of the issue size for qualified institutional buyers. 60% of this can be allocated to anchor investors. The remaining 15 percent shares will be issued to high net worth individuals and 10 percent shares will be issued to retail investors. Let us tell you that this IPO will open for anchor investors 1 day before i.e. on 13 September. While the last date of bidding in IPO is September 18.
What is the company’s plan?
Let us tell you that the company will use the Rs 300 crore raised from this IPO for customer exposure and retention. Apart from this, Rs 40 crore will be spent on technology and product development. On the other hand, the company has increased its Rs. 17.08 crore loan will be repaid through fresh issue money. The remaining funds will be used for general corporate purposes. Let us tell you that the total outstanding debt of the company till March 2023 was Rs 90.03 crore.
Disclaimer: Here is information about share performance only, not investment advice. Investment in stock market is subject to risk and please consult your advisor before investing.