Dinesh Engineers, passive communication infrastructure provider, has withdrawn its IPO issue on weak market sentiments on October 3.
The company received just 17% subscription on the last and final day of the offer on Wednesday. As per data available with the exchange, against a total of 1 crore equity shares for subscription, Dinesh Enginners received bids for 16.51 lakh equity shares.
This is the first IPO to be withdrawn in 2018 due to weak demand. The company opened its public issue for public subscription on September 28, with a price band of Rs 183-185 per share.
Through the IPO, the company planned to mop up Rs. 185 crore for general corporate activities as well as business expansion and also for meeting expenses in relation to public issue.
"Book running lead manager to the Dinesh Engineers has informed the exchange that the entire application money shall be refunded forthwith and the IPO may be treated as withdrawn," the exchange said.
Hem Securities was the book running lead manager to the issue and Link Intime India was the registrar.
Dinesh Engineers is primarily engaged in offering passive communication infrastructure services to internet service providers (ISPs) and telecom operators.
The equity market from September onwards has been under tremendous pressure due to macro and global outlook and has lost over 3,000 points after hitting a record high on August 28, 2018.