The initial public offer of coaching services provider MT Educare was today oversubscribed 1.22 times on the second day of the issue itself.
The IPO attracted bids for about 1.3 crore shares,against over one crore shares on offer,creating demand worth over Rs 107 crore,by 1300 hours today. The offer was mainly supported by non-institutional investors with 3.6 times subscription till yesterday evening. The IPO to raise up to Rs 99 crore will close tomorrow. Shares have been offered in the price band of Rs 74-80 per equity share.
MT Educare has allotted 17.38 lakh shares worth Rs 12.86 crore to two anchor investors — Nomura Trust and Birla Sun Life.
The company is engaged in providing coaching services to students in the secondary,higher secondary and graduation levels in commerce faculty.
Funds raised through this IPO will be used for partially financing the cost of construction of a pre-university college campus at Mangalore in Karnataka and establishing new coaching centres at 20 locations.