Even as the Rs 1,150-crore initial public offering (IPO) of Coffee Day Enterprises opened for subscription on Wednesday, IndiGo, the operator of top Indian airline, is set to launch an IPO worth up to $400 million (around Rs 2,500 crore) on October 26, merchant bankers said.
The share offering by InterGlobe Aviation Ltd, which runs the low-cost carrier, will close on October 28. However, the company has not yet officially declared the opening of the IPO. Under the offer, the company plans to issue fresh shares worth Rs 1,272 crore. An equivalent amount can be raised through sale of up to 3.01 crore shares by its existing shareholders.
Meanwhile, the IPO of Coffee Day Enterprises, which runs Cafe Coffee Day (CCD) chain, was subscribed 13 per cent on the first day of issue on Wednesday . The IPO of Coffee Day received bids for 34,24,275 shares against the total issue size of 2,58,14,198 shares on offer, receiving 13 per cent subscription, data available with the NSE showed.
The portion reserved for qualified institutional buyers (QIBs) was subscribed 17 per cent, while the category for non-institutional investors saw 3 per cent subscription, as per the BSE data. Retail investors share was subscribed 16 per cent. Coffee Day Enterprises has raised over Rs 334 crore from anchor investors.
VG Siddhartha, the main promoter as well as chairman and managing director, holds 54.78 per cent stake in Coffee Day.
InterGlobe Aviation received approval from the Securities and Exchange Board of India (Sebi) for the IPO last month.
The preliminary papers for the share sale — for raising up to Rs 2,500 crore — were filed in June this year. IndiGo is one of the two profit-making domestic airlines.
IndiGo saw its net profit jumping over four-fold to Rs 1,304 crore in the last fiscal as it remained profitable for seven straight years.