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NCML Industries withdraws IPO

12 Jan 2015 Evaluate

The initial public offer (IPO) of edible oil firm NCML Industries has been withdrawn after poor response from retail investors. Book running lead manager (BRLM) to the NCML Industries issue has informed the exchange that the issue has been withdrawn with immediate effect.

The issue, which had opened for subscription on December 29 for sale of 60 lakh equity shares, received bids for over 26.88 lakh shares till January 8. The issue was slated for a closure on January 8.

The qualified institutional buyers (QIBs) portion was subscribed 1 times and non institutional investors’ category received 0.91 times subscription. Portion reserved for retail investors garnered 0.16 times subscription.

The public offer of NCML Industries failed to catch investors’ fancy despite extension of the issue closure date till today and lowering of the price band from Rs 100-120 to Rs 80-90. The offer was earlier scheduled to be closed on January 2, 2015.

NCML Industries is one of the flagship Company of NCML group, mainly in the business of edible oil and wind energy production. One of the leading edible oil importing, manufacturing and marketing Companies of India with international presence, dealing in various edible oils such as Soya bean oil, Cottonseed oil, Palm oil (Palmolein), and Mustard oil, Rapeseed Oil etc.

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