In a resounding vote of confidence, the initial public offering (IPO) of Orient Technologies Ltd. has been subscribed a whopping 12.17 times on the second day of bidding. The issue, which opened on August 21 and closes on August 23, aims to raise Rs 241.8 crore.
The stellar response is a testament to the company’s strong fundamentals and growth prospects. Orient Technologies, a Mumbai-based IT solutions provider, has expertise in creating products and solutions for specialized disciplines across IT infrastructure, IT-enabled services, and cloud and data management services.
The IPO consists of a fresh issue of shares worth Rs 120 crore and an offer-for-sale component of Rs 94.76 crore. The minimum lot size for bidding is 72 shares, with further bids to be made in multiples.
Retail investors have been particularly bullish on the issue, with the retail portion subscribed 14.74 times. Non-institutional investors have also shown significant interest, with their portion subscribed 9.21 times. Qualified institutional buyers, however, have been relatively cautious, with their portion subscribed only 0.02 times.
The company plans to use the net proceeds for general corporate purposes, including capital expenditure requirements and the purchase of an office building in Navi Mumbai.
With the IPO seeing such a strong response, it remains to be seen how the company will utilize the funds to drive growth and expansion. One thing is certain, however – Orient Technologies has made a stellar debut in the capital markets, and investors will be watching its progress closely.
