Zappfresh parent DSM Fresh Foods closes Rs 59 Cr IPO
Zappfresh's IPO was subscribed 0.49 times on the final day, with qualified institutional buyers fully subscribing their portion, while non-institutional investors and retail investors subscribed 0.33 times and 0.27 times, respectively.
DSM Fresh Foods Limited, which operates meat and seafood brand Zappfresh, closed the bookbuilding process for its Initial Public Offering of up to 59 lakh equity shares on Tuesday.
The IPO was subscribed 0.49 times on the third and final day of bidding, with qualified institutional buyers fully subscribing their portion, while the non-institutional investors category was subscribed 0.33 times and the retail category 0.27 times, according to data from a third-party stock exchange portal.
The IPO, which opened on September 26, had a price band of Rs 96–Rs 101 per share, with a lot size of 1,200 shares. Out of the total issue, 3.3 lakh shares were reserved for the market maker portion, while the net issue comprised 55.7 lakh shares.
The company plans to use the proceeds to fund working capital requirements of Rs 25 crore, marketing expenses of Rs 15 crore, capital expenditure of Rs 11 crore, and inorganic growth opportunities worth Rs 3 crore, besides general corporate purposes.
Ahead of the issue, the company raised Rs 16.8 crore from anchor investors by allotting 16.7 lakh shares at Rs 101 apiece. Eleven institutional investors participated, with Craft Emerging Market Fund taking the largest slice at 4 lakh shares. Viney Growth Fund and Narnolia India Opportunity Fund also invested, while six others, including Ekamya Pragati Scheme – 1, Grobiz SME Opportunity Fund, and Milltrust International, picked up smaller portions.
Narnolia Financial Services was the book-running lead manager to the issue. The shares are proposed to be listed on the SME platform of BSE.
Edited by Jyoti Narayan