Shriram Properties IPO - Subscription Day 3

QIB Portion

Let us first talk about the pre-IPO anchor placement. On 07th December, Shriram Properties did an anchor placement of 2,27,66,949 shares at the upper end of the price band of Rs.118 to 34 anchor investors raising Rs.268.65 crore, representing 44.78% of the total issue size. 

The list of QIB anchors included a number of marquee international names like Nomura India Fund, Pioneer Investment Fund, Kuber India Fund and Optimix Wholesale Global Emerging Market Fund. Domestic investors in the anchor placement included Sundaram Mutual Fund, Nippon India Fund, HDFC MF, Aditya Birla Sun Life MF and SBI Life Insurance.

The QIB portion (net of anchor allocation as explained above) has a quota of 158.50 lakh shares of which it has got 293.45 lakh shares bids at the close of Day-3, implying 1.85X subscription for QIBs at the close of Day-3. QIB bids typically get bunched on the last day but the response was fairly tepid, despite the strong anchor day response to the IPO.

HNI / NII Portion

The HNI portion got subscribed 4.82X (getting applications for 382.13 lakh shares against the quota of 79.25 lakh shares). This is a relatively decent response at the close of Day-3 and this segment did see the maximum response bunched on the last day. Bulk of the funded applications and corporate applications, come in on the last day of the IPO only.

Retail Individuals

The retail portion was subscribed a healthier 12.72X at the close of Day-3, showing strong retail appetite; as has been the general trend with smaller sized IPOs. It must be noted that retail allocation is just 10% in this IPO.

For retail investors; out of the 52.83 lakh shares on offer, valid bids were received for 671.97 lakh shares, which included bids for 511.54 lakh shares at the cut-off price. The IPO is priced in the band of (Rs.113-Rs.118) and has closed for subscription on 10th December 2021.

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