Matrimony.com oversubscribed 4 times on last day so far

The initial public offer (IPO) of Matrimony.com received bids for 35.63 lakh shares on the second day of bidding for the IPO, data on NSE showed as at 16:30 IST. The subscription for its IPO opened on Monday. Shares reserved for employees were subscribed 1.25 times, while that of qualified institutional buyers (QIBs) receiving bids 0.89 times. Retail investors bid for almost 4.66 times or 23.79 lakh shares of the 5.09 lakh shares reserved.Matrimony.com has priced its IPO aimed at raising Rs 501 crore in a price band of Rs 983-985.

The price band is Rs 983-985 per share for the IPO which will close tomorrow.

High-net-worth individuals bid for 13,950 shares of the 7.64 lakh shares reserved for them. The company had put out a prospectus to raise RS 500 crore through offer of share and Rs 130 crore in fresh equity, where the exisiting investors Bessemer India Capital, Mayfield sell their stake partially and the founder and MD, Murugavel Janakiraman continues to hold over 50% stake. Bids can be made for a minimum of 15 shares and multiples of 15 thereof.

According to sources, around $3.1 Mn (INR 20 Cr) from the Matrimony IPO proceeds will be spent on advertising, business promotion and general corporate purposes, while $469K (INR 3 Cr) will be used to repay overdraft facilities.

The company is engaged in matchmaking services and marriage services.

Matrimony.com reported consolidated net profit of Rs 43.79 crore in the year ended 31 March 2017 (FY 2017) compared with net loss of Rs 75.07 in FY 2016.

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