Jyothy Laboratories IPO was subscribed 0.03 times on the second day of opening. The issue received bids for 1.12 lakh shares as against the issue size of 44.30 lakh shares. The FMCG company has fixed a price band of Rs 620-690. It would raise Rs 274 crore at the lower end of the band and Rs 305 crore at the higher end. The issue will close on 27 November 2007.
The offer would constitute 30.52% of the post issue paid up capital of the company. Post-issue the stake of the promoters would be 69.47%.
The company has drawn up Rs 40 crore capital expenditure plan for FY08. It plans to leverage the dominant Ujala brand with other branded fabric care products, utilise its wide distribution network and marketing expertise, improve efficiencies and manage costs and increase focus on supermarket and hypermarket sale.
The present investors, including Canzone Ltd, ICICI Bank Canada, ICICI Bank UK Plc, South Asia Regional Fund and CDC Investment Holdings, are selling their 44,30,250 equity shares through the IPO. The remaining stake is held by founder chairman M P Ramachandran and his family.
Jyothy Labs is engaged in the fabric care, household insecticide, surface cleaning, personal care and air care segments of the Indian market. It offers branded products including fabric whitener, mosquito repellent, dishwashing, bath and incense products. |