Sanstar IPO Subscribed 13.47 Times On Day 2

The initial public offering of Sanstar Ltd. has been subscribed 13.47 times as of 5 p.m. on Monday. The IPO was subscribed 4.16 times on its opening day on Friday, led by demand from non-institutional investors.

The company is looking to raise up to Rs 510.2 crore from the offer. The IPO consists of a fresh issue of 4.18 crore shares and an offer for sale of 1.19 crore shares, according to the red herring prospectus.

The plant-based specialty products manufacturer has set a price band of Rs 90–95 per share for the three-day issue, which will close on Tuesday. Ahead of its IPO, Sanstar raised Rs 153 crore from 12 anchor investors, allotting 1.6 crore shares at Rs 95 each.

Proceeds from the fresh issue will be utilised to fund the capital-expenditure requirement for the expansion of the company's Dhule facility, debt payment and general corporate purposes.

The allotment for Sanstar IPO will be finalised on July 24.

• Issue opens: July 19.

• Issue closes: July 23.

• Issue price: Rs 90 to Rs 95 per share.

• Fresh issue: Rs 391.1 crore.

• Offer for sale: Rs 113.1 crore.

• Total issue size: Rs 510.2 crore.

• Bid lot: 150 shares.

• Listing: BSE and NSE. 

Sanstar is a major manufacturer of plant-based specialty products and ingredient solutions in India for food, animal nutrition and other industrial applications.

The company's products include liquid glucose, dried glucose solids, maltodextrin powder, dextrose monohydrate, and native maize starches, among others. Their manufacturing facilities are located at Dhule in Maharashtra and Kutch in Gujarat. 

The IPO has been subscribed 13.47 times as of 5 p.m. on Monday.

• Qualified institutional buyers: 1.29 times.

• Non-institutional investors: 32.84 times.

• Retail investors: 12.14 times.