Domestic institutional investors are believed to have captured a large share of the anchor book, with strong participation from mutual funds and insurance companies, the sources said.
Among domestic investors, ICICI Prudential Mutual Fund, Nippon India Mutual Fund and Motilal Oswal are believed to have participated in the anchor round. Insurance companies such as ICICI Prudential Life Insurance and Kotak Life Insurance were also part of the anchor allocation. Global investors such as Norges Bank Investment Management and HSBC were among the foreign participants.It is believed that all anchor investors have subscribed at the upper end of the price band of Rs 124 per equity share.
According to the company’s red herring prospectus (RHP), 75% of the issuance has been allocated to qualified institutional buyers (QIB), of which 60% to anchor investors.
Shadowfax has has trimmed the size of its IPO to Rs 1,907 crore, compared to Rs 2,000 crore earlier.
The company will raise Rs 1,000 crore through a fresh issue, while Rs 907 crore is the offer for sale (OFS) component for existing investors such as Flipkart, Eight Roads, TPG NewQuest, Nokia Growth Partners, Qualcomm Ventures and Mirae Asset.
At the higher end of the range, Shadowfax was valued at Rs 7,169 crore on a post-money basis, lower than the Rs 8,500-9,000 crore valuation it had targeted earlier.
In an interview with ET last week, Abhishek Bansal, co-founder and CEO of Shadowfax, said the company is now focusing on direct-to-consumer (D2C) brands and smaller retailers as part of its strategy to diversify and reduce dependence on a handful of large customers, which make up a portion of its revenue.
The company reported that its top line rose 68% to Rs 1,805.6 crore in the first half of the current fiscal, supported by growth in e-commerce and high-speed trading. Shadowfax reported a profit of Rs 21 crore during this period.
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