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Heranba Industries has launched its maiden IPO on February 23, 2021. It will be open for subscription until February 25, 2021. Read on to find out more on the latest news around the IPO.

Listing Day: March 5

The shares of Heranba Industries listed at a 43.54% premium on the exchanges today.

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The share price opened at Rs 900 on the National Stock Exchange as well as the BSE.

The issue price was Rs 627 per share.

Day 3: February 25

As of 6.00 p.m.

Heranba IPO was subscribed around 83.29 times so far on Day 3 of bidding.

The Heranba IPO has received bids for 58.15 crore shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 11.84 times
  • Non-Institutional Investors: 271.15 times
  • Qualified Institutional Buyers (QIB): 67.45 times

As of 12.15 p.m.

Heranba IPO was subscribed around 6.32 times so far on Day 3 of bidding.

The Heranba IPO has received bids for 4.4 crore shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 6.58 times
  • Non-Institutional Investors: 12.66 times
  • Qualified Institutional Buyers (QIB): 1.11 times

Day 2: February 24

As of 5.20 p.m.

Heranba IPO was subscribed around 2.74 times so far on Day 2 of bidding.

The Heranba IPO has received bids for 1.91 crore shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 4.53 times
  • Non-Institutional Investors: 87%
  • Qualified Institutional Buyers (QIB): 1.01 times

The offer size mentioned above excludes anchor book of over 29.9 lakh equity shares. 

As of 1.00 p.m.

Heranba IPO was subscribed around 1.49 times so far on Day 2 of bidding.

The Heranba IPO has received bids for 1.03 crore shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 2.8 times
  • Non-Institutional Investors: 42%
  • Qualified Institutional Buyers (QIB): Have not started bidding yet

The offer size mentioned above excludes anchor book of over 29.9 lakh equity shares. 

Day 1: February 23

As of 5.30 p.m.

Heranba IPO was subscribed 85% so far on Day 1 of bidding.

The Heranba IPO has received bids for 58.76 lakh shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 1.64 times
  • Non-Institutional Investors: 9%
  • Qualified Institutional Buyers (QIB): Have not started bidding yet

The offer size mentioned above excludes anchor book of over 29.9 lakh equity shares. 

As of 2.00 p.m.

Heranba IPO was subscribed 50% so far on Day 1 of bidding.

The Heranba IPO has received bids for 34.84 lakh shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 99%
  • Non-Institutional Investors: 3%
  • Qualified Institutional Buyers (QIB): Have not stated bidding yet

The offer size mentioned above excludes anchor book of over 29.9 lakh equity shares. 

As of 12.00 p.m.

Heranba IPO was subscribed 24% so far on Day 1 of bidding.

The Heranba IPO has received bids for 17.29 lakh shares against an offer size of 69.81 lakh shares.

Subscription Status for Investor Categories:

  • Retail Investors: 50%
  • Non-Institutional Investors: 1%
  • Qualified Institutional Buyers (QIB): Have not started bidding yet

The offer size mentioned above excludes anchor book of over 29.9 lakh equity shares. 

IPO Fund Raise from  Anchor Investors

Before the launch of the IPO, Heranba Industries has managed to raise Rs.187.5 crore from anchor investors. On February 22, 2021, the company allocated 29,90,520 equity shares to 18 anchor investors at Rs.627 per share. Heranba is looking to raise Rs.625 crore from the IPO via a fresh issue and offer for sale.

The anchor investors included some well-known names like:

  • Government Pension Fund (Global) – 18.67%
  • HDFC Trustee Company – around 12%
  • Dovetail India Fund – around 8%
  • Cohesion MK Best Ideas Sub-trust – around 8%
  • Other anchor investors:
    • IDFC Emerging Business Fund
    • Ashmore India Opportunities Fund
    • Morgan Stanley Asia
    • Societe Generale
    • IIFL Special Opportunities Fund
    • Emkay Emerging Stars Fund, etc.

SEBI introduced the concept of anchor investors in 2009 allowing the issuing company to invite institutional investors to buy shares before the launch of the IPO to the public. These investors are not permitted to sell the shares up to 30 days from the date of allotment.

About Heranba IPO

Heranba Industries is launching the IPO for a fresh issue of Rs.60 crore and an offer for sale by promoters of Rs.565.2 crore. The price band is Rs.626-627 per share and the lot size is 23 shares. Hence, retail investors need to invest at least Rs.14421 per lot. Retail investors will be able to bid for 35% of the issue, with 15% earmarked for HNIs, and 50% for Qualified Institutional Buyers. The offer for sale is for 90,15,000 equity shares offered by the following promoters:

  1. Sadashiv K Shetty – 58,50,000 shares
  2. Raghuram K Shetty – 22,72,038 shares
  3. SAMS Industries – 8,12,962 shares
  4. Babu K Shetty – 40,000 shares
  5. Vittala K Bhandary – 40,000 shares

Heranba Industries Limited is a manufacturer and exporter of crop protection chemicals. It is one of the leading domestic manufacturers of synthetic pyrethroids and also offers a wide array of insecticides, herbicides, fungicides, and products for pest control.

Also, Heranba Industries has many known brands in its portfolio and exports its products to developed countries with good margins. Its financial statement highlights strong growth and the management is experienced enough to lead the company further. Hence, it is being recommended by many brokerages to investors looking to gain exposure to the said segment. 

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