Trading floor activity during a public offering of company shares
The Initial Public Offering (IPO) of insurtech company Turtlemint has garnered a 50% subscription rate as of 13:10 IST on the second day of bidding. Investors have placed bids for 1.63 Cr shares against a total offer size of 3.29 Cr shares.
Qualified Institutional Buyers (QIBs) have shown the strongest interest, with their reserved portion subscribed 73%, attracting bids for nearly 1.3 Cr shares out of the 1.78 Cr shares allocated to them.
Retail investors also demonstrated moderate engagement, bidding for over half of their allocated shares, with 30.8 Lakh shares subscribed against 60.49 Lakh shares available for this category.
In contrast, Non-Institutional Investors (NIIs) have shown tepid interest, with their quota subscribed only 3%. They have bid for 2.57 Lakh shares compared to the 90.73 Lakh shares reserved for them. This follows a trend from the first day, where NIIs had only subscribed to 1% of their quota.
Turtlemint’s IPO includes a fresh issue of shares worth ₹660.7 Cr and an offer-for-sale (OFS) component of up to 1.46 Cr shares from promoters and existing shareholders. At the higher end of the price band of ₹144-₹152, the IPO values the company at approximately ₹4,513 Cr (about $475 Mn).
The company intends to utilize the capital raised from the fresh issue to enhance its technology infrastructure, advance product development, support marketing initiatives, manage working capital, and explore inorganic growth opportunities.
Prior to the public offering, Turtlemint successfully raised ₹397.2 Cr from anchor investors by allotting 2.61 Cr equity shares. The anchor round saw participation from several domestic mutual funds, alongside other investors such as Societe Generale, 360 One, Amansa Holdings, BNP Paribas, and Citi Group.
Turtlemint’s shares are anticipated to be listed on the public market on June 29.
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