The IPO of DAM Capital Advisors, earlier known as IDFC Securities, will close for public subscription today The initial public offering has received a strong response from all category investors, with the issue being subscribed nearly seven times.
The initial public offering that hit the market in the price band of ₹269-283, is entirely an offer-for-sale. The minimum lot size is 53 shares. The offer-for-sale (OFS) of 2.97 crore equity shares worth ₹840.25 crore is by promoter, Dharmesh Anil Mehta, and investors in Multiples Alternate Asset Management, RBL Bank, Easyaccess Financial Services, and Narotam Satyanarayan Sekhsaria.
Up to 50 per cent of the issue has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors. The offer includes reservation of up to 70,000 shares to eligible employees. The QIB window received bids for 0.07 times, while the NII portion was subscribed 11.49 times, and that for retail investors by 8.96 times. The employee quota (70,000 shares) was subscribed 13 times.
As part of the IPO, the company on Wednesday raised ₹251.48 crore from anchor investors. The marquee investors include Nomura, Goldman Sachs, HSBC, Societe Generale, Nippon India Mutual Fund (MF), HDFC MF, Kotak MF, and Aditya Birla Sun Life MF. DAM Capital has allotted 88.86 lakh shares to 33 funds at ₹283 apiece.
Since the entire issue is an OFS, all the proceeds from the issue will go directly to the selling shareholders, rather than to the company. The company said it plans to go public to achieve the benefit of listing equity shares on the stock exchanges and allow selling shareholders to sell their shares through the OFS.
DAM Capital Advisors provides a range of financial solutions in the areas of investment banking, comprising equity capital markets (ECM), mergers and acquisitions (M&A), private equity (PE), and structured finance advisory, and institutional equities, comprising broking and research.
Headed by Mehta, DAM Capital Advisors is a leading investment bank with a market share of 12.1 per cent based on the number of IPOs and qualified institutional placements undertaken by it as the book-running lead manager in FY24, according to a Crisil report.
Nuvama Wealth Management is the sole merchant banker to the issue. The equity shares of the company will be on the BSE and the NSE.
