Tega Industries IPO - Anchor Placement Details

Tega Industries IPO - Anchor Placement Details

IPO
by 5paisa Research Team Last Updated: 2021-11-30T22:24:48+05:30

The anchor placement issue of Tega Industries saw a robust response on 30-November and the announcement was made late on Tuesday.

The IPO opens on 01-December in the price band of Rs.443-453 and shall remain open for 3 days up to 03-December. Let us focus on the anchor allotment portion ahead of the IPO.

Before we go into the details of the actual anchor allotment, a quick word on the process of anchor placement.

The anchor placement ahead of an Tega Industries IPO is different from a pre-IPO placement in that the anchor allocation has a lock-in period of just one month.

It is just to give confidence to investors that the issue is backed by large established institutions. However, the anchor investor cannot be allotted shares at a discount.
 

Anchor placement story of Tega Industries


On 30-November, Tega Industries completed the bidding for its anchor allocation. There was a robust response, especially from domestic mutual funds, as the anchor investors participated through the process of book building.

A total of 41,00,842 shares were allotted to a total of 25 anchor investors. The allocation was done at the upper IPO price band of Rs.453 which resulted in an overall anchor allocation of Rs.185.77 crore.

Listed below are the 10 anchor investors who have been allotted more than 3.00%  of the anchor allocation each in the IPO.

It must be noted that we have considered at an individual fund level and not at an AMC level since domestic mutual funds accounted for 62.86% of the total anchor allocation across 19 schemes of 8 mutual fund AMCs.

Out of the total anchor allocation of Rs.185.77 crore, these 10 major anchor investor accounted for 65.7% of the overall anchor allocation.

 

Anchor Investor

No. of Shares

% of Anchor Portion

Value Allocated

Ashoka India Equity Fund

5,73,936

14.00%

Rs.26.00 crore

SBI Large & Mid Cap Fund

4,08,375

9.96%

Rs.18.50 crore

Goldman Sachs India Portfolio

3,09,045

7.54%

Rs.14.00 crore

Aditya Birla Sun Life Small Cap Fund

3,09,045

7.54%

Rs.14.00 crore

Mirae Asset Tax Saver Fund

3,09,045

7.54%

Rs.14.00 crore

HDFC Hybrid Debt Fund

2,20,737

5.38%

Rs.10.00 crore

Axis Capital Builder Fund

1,54,539

3.77%

Rs.7.00 crore

Axis Equity Hybrid Fund

1,43,484

3.50%

Rs.6.50 crore

Tata Infrastructure Fund

1,32,462

3.23%

Rs.6.00 crore

Tata Multi Asset Opportunities

1,32,462

3.23%

Rs.6.00 crore

Data Source: BSE Filings

With very strong signals coming from the GMP, the anchor response has been 30% of the total issue size. The QIB portion in the IPO will be reduced to the extent of the anchor placement done above.

Only the balance amount will be available for QIB allocation as part of the regular IPO flow.

One interesting inference one can draw is that, unlike the mega digital and other issues, the domestic mutual funds were predominant players accounting for 62.86% of the total anchor allocation.

More than 19 mutual fund schemes across 8 AMCs were allotted anchor shares in Tega Industries.

Some of the major global funds that participated in the anchor placement were Goldman Sachs India Portfolio, Ashoka India Fund, Kuber India Fund, Elara India Opportunities Fund and BNP Paribas Arbitrage Fund. The IPO of Tega Industries opens on 01st December.

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