Crizac IPO frenzy: Subscribed whopping 60 times on final day
What's the story
Crizac Ltd, a leading provider of student recruitment solutions, has witnessed an overwhelming response to its initial public offering (IPO). The ₹860 crore IPO was subscribed a whopping 59.82 times on the last day of bidding on Friday. According to data from the National Stock Exchange (NSE), bids were made for over 154 crore shares against the 2.58 crore shares on offer.
Investor interest
How different investor categories fared
The IPO drew a lot of interest from Qualified Institutional Buyers (QIBs), who subscribed over 134 times. Non-institutional investors also showed great interest, subscribing 76.15 times. Retail individual investors (RIIs) were not far behind either with a subscription rate of 10.24 times for their portion of the offer. Crizac had set the price band for its IPO at ₹233-245 per share and raised ₹258 crore from anchor investors before opening it up to other categories of investors.
Offer details
OFS doesn't allow Crizac to raise funds
The IPO is a complete offer for sale (OFS) of equity shares worth ₹860 crore by promoters Pinky Agarwal and Manish Agarwal. The OFS includes the sale of equity shares worth ₹723 crore by Pinky and ₹137 crore by Manish. Since this is an OFS, Crizac won't receive any proceeds from the IPO. The company had initially planned to raise ₹1,000 crore in November last year but later revised the offer size downward to ₹860 crore.
Company profile
Crizac's business and listing details
Based in Kolkata, Crizac is a business-to-business (B2B) education platform that provides international student recruitment solutions to global institutions of higher education in the UK, Ireland, Canada, Australia, and New Zealand. The company's shares will be listed on the Bombay Stock Exchange (BSE) and NSE. Equirus Capital and Anand Rathi Advisors are the book-running lead managers for this IPO process.