Infinite Computer IPO undersubscribed on day one

Receives bids for 39.17 lakh shares

The initial public offer (IPO) of Infinite Computer Solutions (India) was undersubscribed on the first day of the opening of the issue today, 11 January 2010. The IPO got bids for 39.17 lakh shares by 16:00 IST, data on NSE showed. The company proposes to sell 97.77 lakh shares through the IPO, which excludes allotment to anchor investors.

The issue closes on 13 January 2010. The price band has been set at Rs 155 to Rs 165. At the top end of the price band, the company will raise about Rs 190 crore. The company is offering shares through a 100% book-building process.

Infinite Computer Solutions got a commitment of Rs 28.46 crore from nine anchor investors. The company finalised an allocation of 17.25 lakh shares to nine anchor investors at Rs 165 per share--at the upper price band of the IPO.

The IPO includes fresh issue of 57.33 lakh equity shares and an offer to sell 57.69 lakh equity shares by Whiterock Investments (Mauritius). The company intends to utilize the IPO proceeds for meeting capital expenditure, making acquisitions and repaying debt.

Infinite Computer Solutions (India) is mainly into software application development and maintenance but has diversified into other areas such as remote infrastructure management and research & development services.