Lohia Corp IPO Subscription Status Day 1: Issue Booked 5% as Bidding Opens, Price Band ₹404-425

The initial public offering of industrial machinery manufacturer Lohia Corp opened for subscription on Thursday, July 23, and will remain open through July 27, according to the bidding schedule. The issue has been priced in a band of ₹404 to ₹425 per equity share of face value Re 1, with a lot size of 35 shares and multiples thereafter, translating to a minimum retail investment of ₹14,875 at the upper end of the band.

The offering is structured entirely as an offer-for-sale (OFS) of up to 2.59 crore equity shares, aggregating to ₹1,101.28 crore, according to the exchange filing. Since the issue carries no fresh issue component, the company itself will not receive any proceeds, with the entire consideration flowing to the selling shareholders. The OFS comprises stake sales by promoters Raj Kumar Lohia, Gaurav Lohia, Amit Kumar Lohia and Ritu Lohia, alongside shareholders Alok Kumar Lohia, Anuja Lohia and Anurag Lohia.

Ahead of the opening, the company raised ₹492 crore from anchor investors, according to the anchor allocation disclosure. Participants in the anchor round included ICICI Prudential Mutual Fund, Nippon India Mutual Fund, Motilal Oswal Mutual Fund, Kotak Mahindra Mutual Fund, Aditya Birla Sun Life Mutual Fund, Tata AIA Life Insurance, Canara Robeco Mutual Fund, SBI Life Insurance, Edelweiss Life Insurance, Ashoka India Equity Investment Trust Plc, and offshore investors Societe Generale, Citigroup Global Markets Mauritius and Nomura Singapore.

Of the net offer, 75% has been reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs) and 10% for retail individual investors. The issue was subscribed 0.05 times, or about 5% of the offer, as of Thursday, July 23, according to the latest bidding data. Category-wise figures for QIB, NII and retail investors are yet to be disclosed separately.

Book Running Lead Managers

Equirus Capital Ltd. is the book-running lead manager to the Lohia Corp IPO, while MUFG Intime India Pvt. Ltd. is serving as the registrar to the issue.

Conclusion

Bidding for the Lohia Corp IPO remains open through July 27, with QIB, NII and retail demand to be tracked closely as the book builds over the coming sessions. The basis of allotment is expected to be finalised on July 28, followed by refunds and credit of shares to demat accounts on July 29, ahead of a scheduled listing on BSE and NSE on July 30.

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