• Source:JND
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The initial public offering of Saraswati Saree Depot, a key player in the saree wholesale segment, was subscribed more than four times on the first day of subscription i.e. Monday.
The NSE data showed that the Rs 1,600-crore initial share sale received bids for 4,37,44,950 shares against the 1,00,00,800 shares on offer, implying an oversubscription of 4.37 times.

The quota of non-institutional investors received a subscription of 12.62 times while the category of retail individual investors (RIIs) received a subscription of 5.39 times. The Qualified Institutional Buyers (QIBs) segment received 1.19 times subscriptions.

The initial public offer (IPO) comprises a fresh issue of up to 64,99,800 equity shares and an offer for sale of up to 35,01,000 equity shares. The offer price range is Rs 152-160 per share.
The initial share sale will close on August 14.

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The Company plans to use the net proceeds from the fresh issue towards funding working capital requirements and general corporate purposes. The Kolhapur-based company, whose saree business dates back to 1966, is also involved in the wholesale business of other women’s wear such as kurtis, dress materials, blouse pieces, lehengas, and bottoms.

The company sources lines from various manufacturers across India and has built relationships in hubs like Surat, Varanasi, Mou, Madurai, Dharmavaram, Kolkata, and Bangalore. Saraswati Saree Depot operates from two stores (Kalhapur and Ulhasnagar) located in Maharashtra. Unistone Capital is the manager of the offering. The equity shares of the firm are expected to be listed on the BSE and NSE.

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(With Agencies Input)