Gujarat-based Exxaro Tiles' initial public offer (IPO) was subscribed more than five times so far on Thursday, the second day of the bidding process. The company has set a price band of Rs 118-120 apiece for the public offer.

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By 10:15 am, the IPO had received 5.82 crore bids against the issue size of 1.15 crore shares, marking a subscription of 5.08 times, data from NSE showed.

The portion reserved for qualified institutional buyers was subscribed 95 percent and that for non-institutional investors 51 percent so far. The quota reserved for retail investors saw 5.41 times subscription.

Vitrified tiles maker Exxaro Tiles' initial public offer (IPO) was subscribed nearly five times on Wednesday, the first day of bidding. The Rs 161-crore IPO received bids for 5,30,66,375 shares, translating into a 4.63 times subscription compared with the issue size of 1,14,50,675 shares, according to NSE data.

The portion meant for retail individual investors (RIIs) was subscribed 9.24 times, and that for non-institutional investors 65 percent. The quota reserved for qualified institutional buyers (QIBs) was subscribed 95 percent.

The IPO, subscription for which began on Wednesday and will end on Friday, August 6, is expected to raise Rs 161 crore for the firm. For the public offering, the Gujarat-based company has established a price range of Rs 118-120 per share.

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The IPO comprises fresh issuance of shares worth Rs 134 crore and an offer for sale of shares worth Rs 27 crore. At the upper end of the price band, bidding for one lot of 125 shares will cost investors Rs 15,000.

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The company's management plans to use the proceeds from the IPO to pay its existing long-term debt of around Rs 50 crore, and for working capital requirements and general corporate purposes.

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“In our existing business model, we are more in the domestic market, say around 86 percent, and the remaining 14 percent of the top line is in exports. We are targeting to take our revenue growth from the existing level to 4-5 times in the next four to five years," Himanshu Shah, CFO, Exxaro Tiles, told CNBC-TV18 on Wednesday.

"We are targeting 20 percent from exports from the coming turnover and the remaining will be our domestic market as we are stronger there,” he said.

On Tuesday, Exxaro Tiles had raised Rs 23.68 crore from two anchor investors, allocating 19.73 lakh shares at Rs 120 apiece.