Tribhovandas Zaveri IPO subscribed 10%

MUMBAI, Apr 25: Jewellery retailer Tribhovandas Bhimji Zaveri’s (TBZ) initial public offer was subscribed 10 per cent till 1400 hrs on the second day of the issue today.

The IPO, which closes tomorrow, attracted bids for over 14 lakh shares against 1.41 crore shares on offer.

The issue created demands worth Rs 17.73 crore.

The company has fixed the price band at Rs 120-126 per share for its Rs 210-crore IPO.

The issue size is 1.66 crore equity shares of Rs 10 each (including anchor portion of 24.99 lakh equity shares).

TBZ plans to open nine new large format high street showrooms in eight cities during the 2012-13 fiscal. It already has 14 showrooms in 10 cities across five states.

As part of its strategy, the company plans to open nine showrooms, one each in Aurangabad, Gandhidham, Hyderabad, Nagpur, Vadodara, Valsad, Visakhapatnam and two in Kolkata, for which it intends to deploy Rs 19.19 crore in this fiscal.

That apart, it requires additional working capital for financing the inventory in the new showrooms, for which it plans to deploy Rs 1,60.44 crore.

IDFC Capital and Avendus are book running lead managers for the issue.

The company manufactures and retails gold, diamond and platinum jewellery. (PTI)