Enviro Infra Engineers Limited's initial public offering (IPO), through a book-building process, offers a fresh issue and an offer-for-sale (OFS) component. The IPO completed its second day of public bidding on Monday, November 25. The public offer was subscribed 12.52 times on the second day as investors bid for 38,55,19,222 or 38.55 crore equity shares, compared to the 3.07 crore shares available.
Out of the three bidding segments, the Non-Institutional Investors (NIIs) subscribed to the IPO the most, coming in at 34.6 times the shares offered. Following the NII lead, retail investors bid 8.73 times the shares offered by the company. The Qualified Institutional Buyers (QIBs) subscribed 2.58 times on Day 2, as the IPO received a strong response from all three segments of investors, according to the data collected from BSE.
The Enviro Infra Engineers IPO opened for public bidding on Friday, November 22, and will close tomorrow after its final subscription day on Tuesday, November 26. The company raised ₹194.6 crore from its anchor investors on Thursday, November 21. The company has fixed its price band at the range of ₹140 to ₹148 per equity share with a lot size of 101 shares per lot.
As of November 25, Enviro Infra Engineers Ltd's grey market premium (GMP) stands at ₹46 per share. With the upper price band of the public issue at ₹148, the shares are estimated to be listed at ₹194 per share, a premium of 31.08 per cent, according to Investorgain.com.
Grey market premium (GMP) is the investor's willingness to pay more on top of the issue price of a public offering.
Enviro Infra Engineers Limited is an infrastructure company which deals with the designing, construction, operation and maintenance of Water and Wastewater Treatment Plants (WWTP) and Water Supply Scheme projects (WSSPs) for government entities.
The company aims to use the funds raised from the public issue to support the company's working capital requirements. The company also aims to support its subsidiary EIEL Mathura in constructing 60 MLD STP for the ‘Mathura Sewerage Scheme’, repaying current debts, and enabling growth through potential acquisitions and general corporate needs.
Enviro Infra Engineers will allot not more than 50 per cent of the shares to Qualified Institutional Buyers (QIB), not less than 15 per cent to Non-Institutional Investors (NII), and not less than 35 per cent to retail investors.
The public issue is estimated to be listed on the domestic stock exchanges on Friday, November 29.
