Entero Healthcare Solutions IPO:distributor company of health care products Entero Healthcare Solutions The initial public offering (IPO) received 19 percent subscription on Monday, the second day of the offer.
According to NSE data, bids were made for 13,85,604 shares against the offer of 71,50,100 shares under the Rs 1,600 crore IPO.
The retail individual investors segment received 88 percent subscription while the non-institutional investors category received nine percent subscription.
Almost negligible bids have been received for the share from qualified institutional buyers (QIBs).
Government will raise Rs 716 crore
Under the IPO, new shares worth up to Rs 1,000 crore and offer for sale (OFS) of existing 47,69,475 shares have been made. At the upper end of the price range it is Rs 600 crore. The price range of Rs 1,195-1,258 per share has been fixed for this offer. Before the opening of the IPO, Entero Healthcare Solutions had raised Rs 716 crore from large (anchor) investors. The company is likely to be listed on BSE and NSE on February 16.
How much will the investor have to pay?
A lot size of the IPO is 11 equity shares and thereafter in multiples of 11 equity shares. This means that the investor will have to invest at least Rs 13,145 (1,195X11) at the minimum price and Rs 13,838 (1,258X11) at the maximum price. Whereas, the company is allowing retail investors to invest Rs 1,93,732 for a maximum of 154 equity shares.
What will the company do with the money?
The company has made a big plan regarding the funds received from IPO. Entero Healthcare Solutions will use the funds to finance its long-term working capital requirements for fiscal years 2025 and 2026. The funds remaining after repayment of the loan will then be used to pursue inorganic growth through acquisitions and also for general corporate needs.