Augmont Enterprises IPO oversubscribed nearly 106 times amid broad demand
Augmont Enterprises, a company dealing in precious metals, just wrapped up its IPO and the response was wild: investors bid for nearly 106 times more shares than were available.
Big institutional investors led the charge with strong demand, but even retail and non-institutional buyers jumped in enthusiastically.
Augmont IPO 825cr funds 465cr inventory
The IPO ran from August 21 to Tuesday, August 25 with shares priced between ₹750 to ₹788.
Out of the ₹825-crore issue, most will go toward future working-capital requirements, including buying and maintaining inventory and meeting advance-margin requirements for inventory procurement, while promoters are selling part of their stake.
Augmont wants to keep up with jewelers' needs as gold prices climb, using ₹465 crore for inventory and the rest for general business purposes.