The stock of Godavari Biorefineries was listed on the National Stock Exchange (NSE) at Rs 308, 12.5% below the issue price. Whereas, it was listed on the Bombay Stock Exchange (NSE) at Rs 310.55, down 11.78%. However, its stock saw recovery at the close of trading. It closed at Rs 343, down 2.5% on the NSE and at Rs 342, down 2.6% on the BSE. The company had fixed a price band of Rs 352 for this issue. By the last day of bidding, it was subscribed 1.83 times in total. The issue of Godavari Biorefineries was worth Rs 554.75 crore. The total issue of Godavari Biorefineries was worth Rs 554.75 crore. For this, the company issued 92,32,955 fresh shares worth Rs 325 crore. Whereas, the existing investors of the company sold 6,526,983 shares worth Rs 229.75 crore through Offer for Sale i.e. OFS. The company had reserved 50% of the issue for Qualified Institutional Buyers (QIB), about 35% for retail investors and the remaining 15% for non-institutional investors (NII). Godavari Biorefineries Limited, established in 1956, manufactures ethanol chemicals. According to data till June 2024, the company has a daily capacity of 570 kilolitres to produce ethanol. The company’s product portfolio includes bio-based chemicals, sugar, different types of ethanol, power. They are used in industries like food, beverages, pharma, flavors and fragrances, power, fuel, personal care and cosmetics. Godavari Biorefineries has two manufacturing facilities and three R&D facilities. What is an IPO? When a company issues its shares to the general public for the first time, it is called Initial Public Offering or IPO. The company needs money to expand its business. In such a situation, instead of taking loan from the market, the company raises money by selling some shares to the public or by issuing new shares. For this, the company brings an IPO.
