The initial public offer (IPO) of the textile firm Jindal Cotex got overwhelming response from investors on the third day of the issue, receiving bids for over 1.12 crore shares according to updates received from the National Stock Exchange (NSE).

The offer was subscribed 62 per cent, receiving a total 69.71 lakh bids from the non-institutional investors including corporate and individuals.

The Ludhiana-based textile firm is expected to raise around Rs 87.17 crore to Rs 93.40 crore on the basis of upper and lower price band of shares with price tag of Rs 70 to
75. The firm will use the funds for expanding its textile business, setting up a new utility for yarn dyeing and cotton yarn. Some portion of funds will also be injected in Jindal Medicot and Jindal speciality Textiles.

Jindal Cotex has appointed Saffron Capital Advisors Pvt. Ltd. as a chief fund manager while Bigshare Services Pvt Ltd as a chief registrar to carry out the IPO through 100 per cent book building process. The textile firm would offer five-lakh shares for its employees and 50 per cent of the total shares to qualified institutional buyers.