IRM Energy IPO subscribed 27 times on closing day

Mumbai: The initial public offering (IPO) of IRM Energy was subscribed 27.05 times on Friday- its closing day. Shares of the city gas distribution company were offered in a price band of '480-505 per share.

The qualified institutional buyer (QIB) portion was subscribed 44.73 times, the non-institutional investors' portion was subscribed 48.34 times, while the retail investor portion was subscribed 9.29 times. The offer also included a reservation for a subscription by eligible employees which was subscribed two times.

Out of the Rs 545 crore raised at the upper price band, the company intends to utilise about Rs 307 crore for funding capital expenditure requirements for development of the city gas distribution network in Namakkal and Tiruchirappalli in Tamil Nadu, while Rs 135 crore will be used for prepayment of debt and rest for general corporate purposes.