KFin Technologies IPO subscribed 2.59 times on Day 3; QIBs, retail portion fully subscribed

As per the NSE data, on a consolidated basis, the IPO received bids of 6,14,67,760 equity shares — oversubscribing by 2.59 times the total issue size of 2,37,75,215 equity shares.

Further, the data revealed that the qualified institutional buyers (QIBs) portion oversubscribed by 4.17 times with bids of 5,40,46,680 equity shares against the reserved 1,29,68,300 equity shares FIIs and mutual funds showed strong demand, while significant bidding was also seen from domestic institutional investors.

Meanwhile, the portion kept for retail investors fully subscribed by 1.36 times with bids of 58,99,680 equity shares against the reserved 43,22,766 equity shares. On the other hand, Non-institutional investors (NIIs) gave a dull response as the category subscribed by 23% with bids of 15,21,400 equity shares against the reserved 64,84,149 equity shares.

Of the total size, 75% of the public offer was reserved for qualified institutional buyers, while 15% was allocated to non-institutional investors and the remaining 10% was kept for retail individual investors.

Under the offer for sale, promoter General Atlantic Singapore is the sole participant in offloading a portion of its stake in KFin Tech. The price band of the IPO was fixed at ₹347 per share and ₹366 per share. The bid lot size is 40 equity shares and multiples thereof. The face value of the equity shares is ₹10 per piece. The offer for sale is aggregated to ₹1,500 crore.

Book-running lead managers for the IPO were ICICI Securities, Kotak Mahindra Capital Company, J.P. Morgan India, IIFL Securities, and Jefferies India. While Bigshare Services is the registrar of the offer.

KFin Tech is among the leading technology-driven financial services platform providing comprehensive services and solutions to the capital markets ecosystem including asset managers and corporate issuers across asset classes in India and provide several investor solutions including transaction origination and processing for mutual funds and private retirement schemes in Malaysia, the Philippines, and Hong Kong.

Post the IPO, the equity shares proposed will be listed on the stock exchanges BSE and NSE.

As per the red herring prospectus, the company is required to o complete all necessary formalities for listing and commencement of trading of the equity shares on all stock exchanges where such Equity Shares are proposed to be listed including allotment according to the offer within six working days from the closing date of the IPO.

As per Angle One website, KFin Technologies is likely to carry allotment of equity shares offered in the IPO on December 26, followed by initiation of refunds and credit of shares to investors’ Demat accounts on December 27th and 28th. While the listing date is factored in on December 29th.