Knack Packaging IPO Day 3: Subscription Crosses 14 Times as Bidding Enters Final Hours

Mumbai, July 3:The Knack Packaging IPO was subscribed 14.21 times by 11:04 AM on the third and final day of bidding, with strong demand from non-institutional investors keeping the issue comfortably ahead of the shares on offer.

The ₹439.50 crore public issue received 6,74,280 applications during the period.

The non-institutional investor (NII) portion was subscribed 39.94 times, led by bids worth 43.46 times in the bNII category and 32.90 times in the sNII segment. The retail portion was subscribed 7.33 times, while the qualified institutional buyers (QIB) category stood at 7.16 times. The employee quota was booked 5.34 times.

Demand Picks Up On Final Day

Subscription levels have moved up steadily since the issue opened on July 1.

• Day 1: 2.72x
• Day 2: 7.56x
• Day 3 (11:04 AM): 14.21x

Retail subscription increased from 4.46 times on Day 2 to 7.33 times, while the QIB portion rose to 7.16 times from 3.61 times. The NII category, which has remained the strongest throughout the issue, climbed from 20.16 times to 39.94 times.

With bidding set to close later on Friday, subscription figures are expected to change further.

IPO Details

The IPO comprises a fresh issue of 2.24 crore equity shares aggregating ₹380 crore and an offer for sale of 35 lakh equity shares worth ₹59.50 crore.

The company has fixed the price band at ₹161-170 per share, with the issue priced at ₹170. Investors can bid in lots of 88 shares, requiring a minimum investment of ₹14,960 for retail applicants.

Key Dates

The issue closes on July 3, while the basis of allotment is expected to be finalised on July 6. Refunds and credit of shares to successful bidders’ demat accounts are scheduled for July 7, with the company’s shares likely to debut on the BSE and NSE on July 8.

About The Company

Knack Packaging manufactures paper-based packaging products for customers across the FMCG, pharmaceutical, food and beverage, and consumer goods sectors. The proceeds from the fresh issue will be used for expansion and other business requirements, while the offer for sale enables existing shareholders to pare a part of their holdings.

Conclusion

The Knack Packaging IPO entered its final trading session with subscription crossing the 14-times mark by mid-morning, supported by robust participation across investor categories. While NII investors continued to account for the largest share of bids, retail and institutional participation also gathered pace as the issue moved towards its close.

Source:

• https://www.chittorgarh.net/reports/anchor-investor/anchor-intimation-knack-packaging-ipo-list.pdf