Anchor Investor Allocation and Key Details for Saraswati Saree Depot IPO

About Saraswati Saree Depot IPO

The anchor allocation for the Saraswati Saree Depot IPO was made at the upper end of the price band of₹ 160 per share. This includes the face value of ₹ 10 for every share plus a share premium of ₹ 150, bringing the anchor allocation price to ₹ 160 per share. So, let us focus on the anchor allotment portion ahead of the Saraswati Saree Depot IPO, which saw the anchor bidding open and close on 9th August 2024.

A Brief on the Anchor Allocation of Saraswati Saree Depot IPO

The anchor issue of Saraswati Saree Depot IPO, held on August 9, 2024, witnessed a strong response from investors. Anchor investors absorbed a significant portion of the IPO size. Out of the total 10,000,800 shares on offer, 4,877,624 were allocated to anchor investors, accounting for approximately 48.77% of the total IPO size.

The entire anchor allocation was made at the higher end of the price band, ₹ 160 per share, which includes a face value of ₹ 10 and a premium of ₹ 150 per share. This allocation price reflects the confidence of anchor investors in the company's business model and growth prospects.

The IPO opened for subscription on August 12, 2024, and is set to close on August 14, 2024. The successful anchor placement suggests strong demand ahead of the public subscription. The shares are expected to be listed on both BSE and NSE, with the listing date set for August 20, 2024.

This anchor placement, managed by Unistone Capital Pvt Ltd, is a crucial step in the IPO process, providing a robust foundation for the subsequent public offering.
 

Here, it must be noted that the 4,877,624 shares allocated to the anchor investors on 9th August 2024 were reduced from the original QIB quota. As a result, only the residual amount would be available to QIBs in the IPO. This change has been reflected in the table, with the QIB IPO portion reduced to 50% of the total issue size after accounting for the anchor allocation. Consequently, the overall allocation to QIBs now includes the anchor portion, meaning the allotted anchor shares have been deducted from the QIB quota for the public issue.

Anchor Allocation Investors in Saraswati Saree Depot

On 9th August 2024, Saraswati Saree Depot completed the bidding for its anchor allocation, receiving a strong response from anchor investors who participated in the book-building process. A total of 4,877,624 shares were allotted to 45 anchor investors. The allocation was made at the upper IPO price band of ₹ 160 per share (including a premium of ₹ 152 per share), resulting in an overall anchor allocation of ₹ 780.42 crore. This robust participation indicates institutional solid demand, with the anchors absorbing 48.77% of the total issue size of ₹ 1,600.08 crore.

Below are the 15 anchor investors allotted 2% or more of the anchor allocation before the Saraswati Saree Depot IPO. The entire anchor allocation of ₹ 780.42 crore was spread across 45 major anchor investors, with 15 receiving more than 2% each of the anchor allocation quota. These 15 anchor investors accounted for 85.43% of the total anchor allocation of ₹ 780.42 crore. The detailed allocation is captured below and indexed in descending order based on the size of the anchor allocation in terms of the number of shares.
 

Key Dates for Saraswati Saree Depot IPO and How to Apply?

The Saraswati Saree Depot IPO opens for subscription on 12 August 2024 and closes on 14 August 2024 (both days inclusive). The basis of allotment will be finalised on 16 August 2024, and refunds will be initiated on 19 August 2024. Additionally, the demat credits are expected to be completed on 19 August 2024, with the stock slated to be listed on 20 August 2024 on both NSE and BSE. This IPO will test the market appetite for traditional retail and wholesale players in the saree industry.

The issue includes a fresh issue of 6,499,800 shares, aggregating up to ₹ 104.00 crore, and an offer for sale of 3,501,000 shares, aggregating up to ₹ 56.02 crore. The price band is set between ₹ 152 to ₹ 160 per share. However, the minimum lot size for an application is 90 shares. Retail investors need a minimum investment of ₹ 14,400. Small NIIs must invest in a minimum of 14 lots (1,260 shares), amounting to ₹ 201,600, while big NIIs must invest in a minimum of 70 lots (6,300 shares), totalling ₹ 1,008.000.

Unistone Capital Pvt Ltd is the sole book-running lead manager for the Saraswati Saree Depot IPO, and Bigshare Services Pvt Ltd is the issue's registrar.