Nova Agritech IPO Oversubscribed 9.71 Times on Day 1

New Delhi, Jan 23 (PTI) The initial public offering (IPO) of Nova Agritech Ltd, a manufacturer of agricultural inputs, was subscribed 9.71 times on the first day of bidding on Tuesday.

The IPO received bids for 24.68 crore shares against 2.54 crore shares on offer, as per the NSE data.

The category for non-institutional investors (NIIs) received 14.66 times subscriptions, while the portion for retail individual investors (RIIs) subscribed 12.71 times. Qualified institutional buyers (QIBs) part got subscribed 62 per cent.

The IPO comprises a fresh issue of equity shares worth up to Rs 112 crore and an offer-for-sale (OFS) component of 77.58 lakh equity shares by a shareholder Nutalapati Venkatasubbarao, who owns an 11.9 per cent stake in the company.

On Friday, Nova Agritech had raised a little over Rs 43 crore from anchor investors. It has set a price band of Rs 39 to Rs 41 per share for the issue.

At the upper end of the price band, the maiden public issue is expected to mobilise Rs 143.81 crore.

Incorporated in 2007, the firm manufactures distributes and markets a wide range of product categories consisting of soil health management products, crop nutrition, biostimulants, bio-pesticide, integrated pest management (IPM) products and crop protection products.

Keynote Financial Services Ltd and Bajaj Capital Ltd are the book-running lead managers to the issue.

The equity shares are proposed to be listed on the BSE and NSE.