Onelife Capital Advisors Limited which had tapped the capital market with its IPO for 33.5 lac shares in a price band of Rs 100-110 was subscribed. The issue had opened on Wednesday the 28th of September and closed yesterday the 4th of October. The overall issue was subscribed 1.53 times and the retail portion was subscribed 2.5 times. This was one of the more than half a dozen issues which opened in the last week of September with March 2011 results. It may also be mentioned that the IPO grade given by CARE was 1/5 indicating poor fundamentals.
The details of the subscription level in various categories are given below: –
| Category | Shares Offered | Shares Subscribed | Times |
| QIB | 1675000 | 1712750 | 1.02 |
| NII | 502500 | 466150 | 0.93 |
| Retail | 1172500 | 2931500 | 2.50 |
| Overall | 3350000 | 5110400 | 2.50 |
This company is a merchant banker and chose not to have any road shows for its IPO. The very purpose of not having any road shows for such events defeats the purpose of raising capital from the markets. It has till date brought one company public, Paramount Print Packaging which is trading well below the issue price. At the time of the IPO of Paramount there was a road show and the issue was subscribed to with the help of “friendly” intermediaries.
With such poor quality of fundamentals one can be sure that issues brought out in future by the company will leave much to be desired.
