The initial public offer (IPO) of Newgen Software Technologies received bids for 10.07 crore shares on the last day of the bidding for the IPO yesterday, 18 January 2018. The IPO was subscribed 8.25 times. The IPO had opened on 16 January 2018. The company had fixed the price band of Rs 240 to Rs 245 per equity share.

Category-wise subscription details showed that the qualified institutional buyers (QIBs) category was subscribed 15.62 times, the non-institutional investors category was subscribed 5.52 times and the retail individual investors (RIIs) category received subscription of 5.18 times.

Ahead of the opening of the IPO, the board of directors of the company at its meeting held on 15 January 2018 finalized allocation of 51.99 lakh equity shares to nine anchor investors at Rs 245 per share.

The offer comprised of fresh issue of up to Rs 95 crore by the company. Apart from this, the offer for sale consisted of up to 1.34 crore equity shares or around Rs 329.62 crore. Thus the total issue size is Rs 424.62 crore.

The objects of the issue are to purchase and furnishing of office premises near Noida-Greater Noida Expressway, Uttar Pradesh to the tune of Rs 8.43 crore and general corporate purposes.

Newgen Software Technologies reported a net profit of Rs 5.65 crore on sales of Rs 182.78 crore in half year ended 30 September 2017.

Newgen Software Technologies offers a platform to enable organizations to drive digital transformation of business processes such as automation of routine business functions, making them faster, easier and more accurate and increasing the channels or devices through which these functions can be performed.