Regaal Resources' IPO Creates a Stir with Massive Over-Subscription

The IPO of Regaal Resources Ltd, specializing in maize-based products, was met with astonishing demand, closing at 159.88 times oversubscription. This remarkable interest from investors highlighted burgeoning market confidence in this specialized sector.

On its final day, the Rs 306-crore offering saw bids for an astonishing 3,35,73,63,312 shares while only 2,09,99,664 were on offer, according to data from the NSE. Non-institutional investors led the charge with subscriptions reaching 356.73 times, whereas qualified institutional buyers showed a commitment of 190.97 times and retail investors 57.75 times.

With a strategic price band set at Rs 96-102, the IPO comprised a fresh issue of Rs 210 crore shares and an offer-for-sale valued at Rs 96 crore by promoters. Regaal Resources plans to allocate Rs 159 crore from the raised funds to repay certain borrowings, further solidifying its financial standing. The company, recognized for its zero liquid discharge maize milling facility, serves both domestic and international markets such as Nepal and Bangladesh.

(With inputs from agencies.)