Taksheel Solutions Limited had tapped the capital markets with its IPO which opened on Thursday the 29th of September and closed on Tuesday the 4th of October. The company plans to issue 55 lac shares in a price band of Rs 130-150. The issue failed to garner adequate response from QIB’s and was subscribed a mere 0.24 times, but with the help of “friendly” intermediaries received excellent response from HNI’s and even better from retail investors who subscribed the issue 4.70 times and 6.18 times. This issue is also from the bunch of issues using the last week of September to launch the issue as the accounts submitted in the RHP are of 31st March 2011.

The details of the subscription level in various categories are given below: –

This issue will most certainly be priced at the upper end of the price band and the share will have a wild day on listing. I believe the time has come for SEBI to consider when there has already been a price discovery through book building whether the share should be allowed to be moved indefinitely or there should be price restrictions on day one. I am of the strong belief that there should be restrictions to curb this ever growing menace of poor fundamental companies doing well on day one and thereafter disappearing into oblivion.