Happiest Minds Technologies IPO subscribed 8.40 times on the second day of bidding

The initial public offering of IT services firm Happiest Minds Technologies was subscribed 8.40 times on the second day of bidding on Tuesday.

The Rs 702-crore IPO, received bids for 19,53,36,630 shares against a total issue size of 2,32,59,550 shares, according to data available with the NSE.

The category meant for Qualified Institutional Buyers (QIBs) was subscribed 47 percent, while non-institutional investors portion received 3.96 times subscription and retail individual investors 38.85 times.

The price band for the offer, that will close on Wednesday, has been fixed at Rs 165 to Rs 166 per equity share.

The offer comprises a fresh issuance of shares aggregating up to Rs 110 crore and an offer for sale of up to 3.56 crore equity shares.

On the upper end of the price band, the IPO will fetch Rs 702 crore.

Last week, the company, promoted by Ashok Soota, has raised Rs 316 crore from anchor investors.

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Soota was also the Founding Chairman and Managing Director of MindTree. He had also served as Vice-Chairman of Wipro.

Some of the anchor investors include Government of Singapore, Goldman Sachs, Kuwait Investment Authority, Nomura Funds Ireland, Jupiter India, and Pacific Horizon Investment.

A total of 25 anchor investors have been allotted 1,90,30,541 equity shares at the upper price band of Rs 166 per scrip. At this price, the company mopped up Rs 315.9 crore, Happiest Minds said in a statement.

The IT company proposes to utilise the net proceeds from the fresh issue for meeting long-term working capital needs and general corporate purposes.

The Bengaluru-based company's shares are proposed to be listed on the BSE and the NSE.

ICICI Securities and Nomura Financial Advisory and Securities (India) are the managers for the offer.

The company, which filed draft papers with the markets watchdog SEBI in June, had obtained its approval to float IPO in August.

(Disclaimer: Additional background information has been added to this PTI copy for context)