SME IPO: Pajson Agro India IPO Full Day 1 Subscription with Strong Institutional Demand
On the first day of the Pajson Agro India IPO, strong institutional demand drove the entire subscription. Uncover the particulars of the subscription, price
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The Pajson Agro India IPO had an outstanding start on its very first day, getting full subscription within just a few hours due to strong demand from institutional investors. The SME IPO, which aims to collect ₹74.45 crore, started offering its shares on December 11 and quickly got subscribed 1.08 times, as per the data from the exchange.
The main source of the enthusiastic response was the QIB segment, which had subscribed an incredible 3.54 times. The NII and retail investors' subscriptions were lower, with 0.18 times and 0.09 times, respectively.
The offering price for the shares is between ₹112–118 and retail investors need to invest at least ₹2,83,200 since the minimum lot of shares is 1,200 to take part in this sale which will continue till December 15.
Important IPO Information
Issue Size: ₹74.45 crore (the entire fresh issue of shares of 0.63 crore)
Listing Venue: BSE SME
Tentative Listing Date: December 18th
Investor's Quotas:
QIBs - 47%
NIIs - 14.26%
Retail - 33.25%
It is expected that allotment for the IPOs will be done by the 16th of December, after which the refunds will be on the 17th. The credit of the demat account for investors who have been successfully allotted shares is also anticipated to happen on the same day.
How the Funds Will Be Spent
Pajson Agro India is planning to invest the funds in setting up a new cashew processing plant in Vizianagaram, Andhra Pradesh, and also for general corporate purposes. The project intends to increase the production capacity significantly, thus enabling the company to cater to the ever-growing domestic and international markets.
A Brief on Pajson Agro India
The core business of Pajson Agro India is processing raw cashew nuts into the highest quality cashew kernels. The company has a global customer base and the products are available both in bulk and retail packs under the name of Royal Mewa, the company's white-label brand, which is known for its top-quality dry fruits. Besides the main product, the company also markets cashew husk and shells, which are used in agriculture and industry, as by-products.
Pajson Agro India took a firm step forward in its IPO with strong institutional support and plans for expansion, thereby creating a positive atmosphere for the upcoming listing.
