Rolex Rings Ltd IPO will open for subscription on Monday. The company has fixed a price band of Rs 880-900 a share for its Rs 731-crore IPO. The public offer will conclude on July 30.
Bids can be made for a minimum of 16 equity shares (Rs 14,408) and in multiples of 16 equity shares thereafter. A retail investor can bid for a maximum of 13 lots (Rs 187,200).
Rolex Rings, based in Gujarat's Rajkot, is the maker of auto-components. Rolex Rings is among the leading manufacturers of forged and machined components in the country.
Rolex Rings' IPO comprises a fresh issue of shares worth Rs 56 crore and an offer for sale of up to 75 lakh equity stocks by Rivendell PE LLC (formerly known as NSR-PE Mauritius LLC). At the upper end of the price band, the IPO will fetch Rs 731 crore.
Rolex Rings' IPO allotment will be done on August 3 and shares will be listed on BSE and NSE on August 6.
In the grey market, unlisted shares of Rolex Rings are commanding a premium of Rs 440.
Rolex Rings on Tuesday said it has collected a little over Rs 219 crore from anchor investors. The company has decided to allocate 24,36,666 equity shares to anchor investors at Rs 900 per share, taking the transaction size to Rs 219.29 crore, according to a circular uploaded on the BSE website.
Proceeds from the fresh issue would be used towards funding long-term working capital requirements as well as general corporate purposes. In addition, the auto component maker expects to receive the benefits of listing the equity shares on the stock exchanges, enhancement of its brand name among existing and potential customers, and the creation of a public market for its equity shares in India.
Half of the issue size has been reserved for qualified institutional buyers (QIBs), 35 per cent for retail investors, and the remaining 15 per cent for non-institutional investors.