New Delhi, Jun 14 (PTI) The initial public offer of auto component maker Sona BLW Precision Forgings was subscribed 11 per cent on Monday, the first day of subscription.

The company's initial public offer (IPO) received bids for 1,13,93,298 shares against 10,71,05,262 shares on offer, as per BSE data.

The portion meant for qualified institutional buyers (QIBs) was subscribed 2 per cent, non-institutional investors 1 per cent, and retail individual investors (RIIs) 51 per cent.

Sona BLW Precision Forgings (Sona Comstar) has garnered Rs 2,498 crore from anchor investors.

The IPO comprises a fresh issue of shares amounting to Rs 300 crore and an offer for sale (OFS) aggregating up to Rs 5,250 crore by selling shareholder Singapore VII Topco III Pte Ltd, an affiliate of the Blackstone Group Inc.

The price band for the offer has been fixed at Rs 285-291 a share, which will conclude on June 16.

The Blackstone-promoted company intends to utilise the proceeds from the fresh issue to repay/prepay a little over Rs 241 crore of its borrowings besides general corporate purposes.

The company is into designing, manufacturing, and supplying highly engineered critical automotive systems and components such as differential assemblies, differential gears, conventional and micro-hybrid starter motors, BSG systems, EV traction motors, and motor control units.

It supplies components to automotive OEMs across the US, Europe, India, and China, for both electrified and non-electrified powertrain segments and is not dependent on a single product, vehicle segment, customer, or geography.

Sona Comstar, which filed preliminary IPO papers in February, obtained Sebi's go-ahead in early May to float the public issue.

Kotak Mahindra Capital Company, Credit Suisse Securities, JP Morgan India, JM Financial, and Nomura Financial Advisory and Securities are the book running lead managers (BRLM) to the issue.

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