The IPO from Snowman Logistics Limited which was open from Tuesday the 26th of August to Thursday the 28th of August was oversubscribed 60 times. The issue received excellent response from HNI and retail investors. Details of the oversubscription are given below. The price band was Rs 44-47 and would looking at the response certainly be priced at the upper band of Rs 47. The anchor book was disappointing with just three entities subscribing to the anchor book where 30% of the 75% QIB book was reserved. This effectively meant that 22.5% of the entire issue was reserved for anchor investors.

The cost of funding for HNI’s assuming an interest rate of 8% for 9 days works out to Rs 20.48 per share. The HNI who has applied for the entire bucket of HNI of 63 lac shares will be allotted about 28,500 shares. The total number of applications received were about 2.62 lacs. The biggest beneficiary would be those 14,000 applicants from the retail category who would by way of lottery get firm allotment of 300 shares. The cost of HNI becoming Rs 21 would ensure that the share trades at a price of Rs 68 or higher or listing day.
The issue has done well and one hopes that the same would continue to do well post listing as well.