Infibeam's Rs 450-cr IPO subscribed 21% on Day 1

New Delhi: Infibeam Incorporation Ltd, the first e-commerce firm to tap the IPO route, saw its Rs 450-crore issue getting subscribed 21 percent on the opening day today.

The issue received bids for 26,44,792 shares as against the total issue size of 1,25,00,000 shares, as per NSE's data till 1700 hrs.

The portion set aside for qualified institutional buyers (QIBs) was subscribed 22 percent and non-institutional investors received 21 percent subscription.

Retail investors category was subscribed 17 percent.

The company has fixed the price band at Rs 360-432 per equity share for the initial public offer (IPO). The initial share-sale programme will conclude on March 23.

Started in 2007, Infibeam runs several e-commerce services like Infibeam.Com, BuildaBazaar, Incept and Picsquare.

Infibeam competes with Flipkart, Amazon and Snapdeal, among others in the e-commerce space.

The company has proposed to list its shares on NSE and BSE.

The issue is being managed by SBI Capital Markets and Elara Capital India.

Last week, the company said two bankers - ICICI Securities and Kotak Mahindra Capital - exited from its public issue. However, the firm did not disclose any reason for their withdrawal, but reports suggest that this has happened over differences on pricing and timing of the IPO.

Infibeam plans to utilise the IPO proceeds towards setting up of a cloud data centre and shifting and setting up of registered and corporate office of the company.

In addition, the funds will be used for setting up of 75 logistics centres, purchase of software and for other general corporate purposes.

So far this year, four firms - HealthCare Global Enterprises (HCG), Quick Heal Technologies, TeamLease Services and Precision Camshafts - have hit the Dalal Street, while the IPO of Bharat Wire Ropes is underway.