How was the response to the anchor placement of Delhivery ahead of the IPO opening on 11th May?
Answer
Answer
Delhivery Ltd saw a robust response to its anchor placement on Tuesday, which was announced by the company to the exchanges late at night. Delhivery had targeted 40% issue size to anchors and the eventual share of anchors was actually more than that. The anchor allocation has a lock-in period of just one month, although under the new rules, part of the anchor portion will be locked in for 3 months. This is distinct from pre-IPO placements.
Here are some of the major highlights of the anchor allotment to institutional investors ahead of the Delhivery Ltd IPO. Delhivery allotted a total of 481.88 lakh shares to anchors via the book building process on 10th May. A total of 64 anchors got allotment in Delhivery shares of which 14 were mutual fund schemes. FPIs participated aggressively in the anchor placement of Delhivery, unlike LIC where mutual funds were dominant.
With the robust demand, the anchor allocation was done at the upper IPO band of Rs.487 translates into anchor allocation value of Rs.2,347 crore. In other words, the anchor response was 44.83% of the total issue size, with the top ten anchors lapping up over 45% of the anchor portion. Unlike LIC, where domestic mutual funds had 71% share of anchor, in Delhivery it was just 30.3%, allotting 145.94 lakh shares to 17 funds across 7 AMCs.
Some of the major allocations included ICICI Prudential Flexicap fund (6.51%), SBI Focused Equity fund (6.35%), Amansa Holdings (6.11%), Ballie Gifford (5.17%) and Goldman Sachs (4.97%). In addition, other FPIs who participated included Omers, Schroeder, Fidelity, Government of Singapore, Monetary Authority of Singapore, AIA Singapore, Aberdeen, Master Trust Japan, Tiger Global and Van Eck Funds.
Among the active participation by domestic funds, big names included ICICI Prudential MF, SBI MF, Mirae MF, HDFC Mutual Fund, Invesco MF, IIFL Special Opportunities Fund etc. The anchor allotment portion will be reduced from the QIB portion, which has an overall 75% allocation in the IPO. Only the residual number of shares will be available for QIB allocation as part of the regular IPO.