Record subscription bid for MOIL IPO
Wed, 01 Dec 2010 22:01:38 -0700
The initial public offering of MOIL saw a record 56.29 times subscription on the final day of the issue.
The initial public offering of MOIL saw a record 56.29 times subscription on the final day of the issue, attracting total bids worth a staggering Rs 70,923 crore. This was the best performance by an IPO since May 2009.
This means for the 3.36 crore equities that are up for grabs, there are now bids for 189.13 crore shares. The issue opened for subscription on November 26 and closed on December 1. The issue was sold in the price band of Rs 340-375 apiece.
“The tremendous response to MOIL's offer was driven by reasonable pricing and the size of the issue," said Alex Matthews, research head at Geojit BNP Paribas.
Shares reserved for qualified institutional bidders were subscribed 49.16 times, as per the latest available data.
This was the first share issue from the public sector where retail investors were allowed to bid for up to Rs 200,000, up from Rs 100,000.
Edelweiss Capital, IDBI Capital Market Services and JP Morgan India Private are the book running lead managers to the issue.
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