City Crops Agro IPO Subscribed 88%: Discover Retail Investors’ Share

City Crops Agro IPO

City Crops Agro, a prominent player in the agricultural sector, recently launched its Initial Public Offering (IPO) on September 26th, 2023.

This IPO has generated substantial interest from investors, and its progress in the market has been closely watched.

In this article, we will delve deeper into the details of the City Crops Agro IPO, including its subscription statistics, key facts about the offering, and an overview of the company.

City Crops Agro IPO Subscription:

The City Crops Agro IPO, which opened for subscription on September 26th, 2023, has garnered significant attention during its initial days in the market.

As of the end of the first day of subscription, the IPO has achieved an 88 percent subscription rate. This remarkable level of interest in the IPO is evidenced by the fact that the total number of bids received for this offering stands at an impressive 50.28 lakh shares.

It’s noteworthy that the company has made 57 lakh shares available for purchase, indicating strong investor demand for City Crops Agro.

Investors keen on participating in this IPO will have the opportunity to do so until September 29th, 2023.

The pricing for each share in this IPO has been set at an attractive Rs 25, making it an enticing prospect for potential investors looking to enter the agricultural sector.

The City Crops Agro IPO amounts to a total size of Rs 15 crore, and it includes the issuance of 60 lakh fresh equity shares. These funds will be instrumental in the company’s expansion and development plans.

Subscription Details:

Here’s a detailed breakdown of the subscription statistics for the City Crops Agro IPO:

1. Overall Subscription: The IPO has received an overall subscription rate of 88 percent, showcasing the strong appeal of City Crops Agro among investors.
2. Retail Investors’ Share: Retail investors have shown interest in subscribing to only 26 percent of the reserved shares. While this may seem modest in comparison to the overall subscription rate, it still signifies a notable level of retail investor participation.
3. Non-Institutional Buyers: On the other hand, the portion reserved for non-institutional buyers has been oversubscribed, with a subscription rate of 1.50 times the available shares. This robust demand from non-institutional investors highlights their confidence in City Crops Agro’s potential.

IPO Details:

The City Crops Agro IPO comes with several specific details that are important for potential investors:

1. Lot Size: The lot size for the City Crops IPO has been set at 6000 shares, and investors can place bids in multiples of this lot size. This structure allows flexibility for investors with varying investment capacities.
2. Retail Investor Requirement: Retail investors are required to invest a minimum of Rs 150,000 to participate in the IPO, ensuring that the offering attracts investors with a genuine interest in the company’s growth.
3. Utilization of Funds: The funds raised through this IPO will primarily be directed towards fulfilling the company’s working capital requirements. Additionally, these funds will be utilized for general corporate purposes and to cover expenses related to the IPO.
4. Lead Managers and Registrars: The book running lead manager for this IPO is Turnaround Corporate Advisors Pvt. Ltd., a reputable player in the field of financial advisory services. The registrar to the issue is Skyline Financial Services Pvt. Ltd., known for its efficient management of IPO-related processes.

About City Crops Agro:

City Crops Agro Limited, established in 2013, has made a name for itself in the agricultural sector. The company’s core focus lies in the sale of a wide range of agricultural products, including seeds, rice, wheat, onions, potatoes, tomatoes, isabgol, and pulses.

What sets City Crops Agro apart is its innovative approach, which integrates these products into an online platform that offers a diverse selection of vegetables, pulses, oilseeds, and grains.

The company’s dedication to providing quality agricultural products has earned it a strong reputation among farmers and consumers alike.

Through its integrated online platform, City Crops Agro has facilitated the access of these essential products to a broad customer base, contributing to the growth and development of the agricultural sector.

Final Thoughts

The City Crops Agro IPO has certainly captured the attention of investors, with an 88 percent subscription rate on the first day indicating a strong interest in the offering.

As the subscription period continues until September 29th, 2023, it will be interesting to see how the IPO progresses and what impact it has on City Crops Agro’s future endeavors.

With a clear focus on agricultural products and an innovative online platform, City Crops Agro has the potential for significant growth in the years to come, making this IPO a compelling opportunity for investors seeking exposure to the agricultural sector.