Matrimony.com oversubscribed 4.41 times on last day

IPO’s price band is Rs983-985 per share

IPO’s price band is Rs983-985 per share

The initial public offer (IPO) of Matrimony.com, which runs online matchmaking portals, was subscribed 67% on the first day of bidding on Monday.

The IPO received bids for 1,23,79,380 shares against the total issue size of 28,11,280 shares, data available with the NSE and BSE showed till 5.30 pm. With no change from day1, at 83%, Qualified Institutional Buyers have bid for 12,67,500 of 15,30,905 offered and retail individual investors have oversubscribed their shares by 178% with 9,07,155 bids.

Till 13:00 hours today, Matrimony's shares were oversubscribed 1.13 times, with shares for RIIs getting subscribed 3.41 times.

Ahead of the IPO, the IPO committee of the board of directors of Matrimony.com on Friday, 8 September 2017, finalised allocation of 22.93 lakh shares to 10 anchor investors at Rs 985 per share aggregating to Rs 225.88 crore.

The issue has been offered in a price band of Rs 983-985 per equity share. Net proceeds from the issue will be utilized towards advertising and business promotion activities, purchase of land for construction of office premises in Chennai, repayment of overdraft facilities and general corporate purposes.

Focused expansion of its marriage services business through cross selling and assisted services could also help the company move up the value chain, it said. Company's brand, BharatMatrimony.com and other matchmaking brands such as CommunityMatrimony.com and EliteMatrimony.com are well- established in India. The company posted a net profit of Rs 14.6 crore for the three-month ended June 30, 2017, against '9.5 crore during the same period a year before.

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