Zomato IPO day 1: Retail investors' portion subscribed 2.69 times

Restaurant aggregator and food delivery platform Zomato launched its initial public offering (IPO) for subscription. Within a few minutes of opening, the Zomato IPO was fully subscribed.The IPO size was reduced to Rs 5,178.49 crore after the company raised Rs 4,196.51 crore on 13 July from 186 anchor investors. The previous size of the Zomato IPO was Rs 9,375 crore , reported Moneycontrol. It has a fixed share price of Rs 72 to Rs 76.Against the IPO size of 71.92 crore equity shares, the offer has received bids for 75.60 crore equity shares.On its first day, the IPO was subscribed 1.05 times. Retail investors have subscribed their portion 2.69 times while qualified institutional buyers have subscribed 98 percent of their portion while the Non-Institutional Investors (NII) have subscribed for 13 percent of the reserved portion.Eighteen percent of the portion reserved for employees was also subscribed on day one of the Zomato IPO.The IPO is a combination of an offer for sale by its investor Info Edge (India) and fresh equity shares. The worth of the OFS is Rs 375 crore. Previously, the investor had intended to raise Rs 750 crore from the IPO, however, it was later reduced to half.Several analysts have given the Zomato IPO a subscribe rating. Subscribers can bid for a minimum of 195 shares or its multiples. They can subscribe to a maximum of 13 lots of 195 shares each.The company is going to use the proceeds generated from the IPO to fund organic and inorganic growth initiatives. The money will also be utilised for general corporate purposes.