Claris IPO hit by withdrawals

MUMBAI: Despite a drastic cut in the price band, investors are withdrawing applications in the Claris Lifesciences IPO. Data on the NSE website showed on Monday that the IPO was subscribed 42%, down from 53% on Friday, the day it was scheduled to close.

Muted investor response had prompted the company and the merchant bankers to extend the closing day to December 2 and also cut the price band to Rs 228-235 from Rs 278-293.

While the retail part in the offering had been fully subscribed by Monday evening, some institutional and non-institutional investors have withdrawn applications in the IPO. One of the merchant bankers to the offer, however, sounded optimistic and said that institutions and HNIs would return on the last day of the offer.

As of Monday evening, the institutional part was subscribed 11%, down from 15% on Friday, while the non-institutional part, which includes HNI investors, which was subscribed 6%, down from 10% on Friday, data on NSE showed.