DreamFolks Services' IPO subscribed 6.09 times on second day

The initial public offering (IPO) of Dreamfolks Services, was subscribed 6.09 times on Thursday, the second day of the issue. The institutional investor portion was subscribed 0.60 times, the wealthy investor portion by 8.4 times, and the retail investor portion by 19.1 times.

On Tuesday, the company raised Rs 253 crore through anchor allotment. The company allotted 77.59 lakh shares to 18 anchor investors. The IPO will close on Friday. The price band for the issue is Rs 308-326 per share. At the top-end, the Dreamfolks will be valued at Rs 1,703 crore.

The company’s IPO is entirely an offer for sale by existing shareholders. In January, when the company filed its draft offer document with Sebi, it was looking to sell 21.81 million shares through the IPO, which has now been reduced by 20 per cent to 17.24 million shares to align with the volatile market conditions. The company will raise Rs 562 crore through its IPO.

Dreamfolks enables credit card companies and corporates to provide access to airport services to their clients. It facilitates access to all the 54 lounges currently operational in India. Dreamfolks has a market share of over 90 per cent of all credit and debit cards that offer airport lounge facilities. In FY22, the company reported a net profit of Rs 16.3 crore on revenues of Rs 283 crore.