Stories
Bonfiglioli Transmissions IPO Reaches 67 Percent Subscription On Day Two
- •The initial public offering of Bonfiglioli Transmissions India achieved 67 percent subscription by noon on the second day of bidding.
- •The Rs 2533.6-crore IPO received bids for over 2 crore shares against the 3.02 crore shares on offer, with the non-institutional portion subscribed 1.10 times.
- •Shares of the company were commanding a grey market premium of around 24 percent as of October 16.
- •The price band for the IPO has been fixed at Rs 558 to Rs 586 per share, valuing the company at approximately Rs 11016 crore at the upper end.
- •The public issue is an entirely offer for sale of 4.32 crore equity shares by the promoter Bonfiglioli S.p.A.
Key Questions Answered
The Bonfiglioli Transmissions IPO price band is fixed at Rs 558 to Rs 586 per share, valuing the company at approximately Rs 11,016 crore at the upper end. The entire public issue is worth Rs 2,533.6 crore.
Of the net offer, 50 percent is earmarked for qualified institutional buyers (QIBs), 15 percent for non-institutional investors (NIIs), and 35 percent for retail individual investors. Additionally, 50,000 equity shares are reserved for eligible employees, who receive a discount of Rs 29 per share.
Since the initial public offering is entirely an offer for sale (OFS) of 4.32 crore equity shares by the promoter Bonfiglioli S.p.A., all proceeds go directly to the selling shareholder. The company itself does not receive any funds from the offering.
