Economy

Issue Subscribed 65% So Far On Day 3

Retail investors, whose bid value can not exceed Rs 2 lakh per application, bid for 5.6% of the shares reserved for them. Investors can bid for a minimum of 16 shares and in multiples of 16 thereafter. HNIs typically bid on the final day of a public offering to minimise their IPO financing costs.

In terms of valuation, the IPO would be the country's third biggest after Coal India's 15,200 crore and Reliance Power's Rs 11,700 crore issues.

At its upper band, GIC, India's only reinsurer, expects to raise Rs 11,372.64 crore from the offer, valuing the company at around Rs 80,000 crore at the upper end.

Shareholders of the electricity exchange were selling a little over 6 million shares, or 20 percent of the post-issue paid-up capital, in the IPO. The IPO will close on 13 October.

The IPO is to collect around Rs 11372.64 crore at the upper band of the issue price of Rs 912 per share (face value Rs 5 per share) and Rs 10661.85 crore at the lower price band of Rs 855 per equity share. The public offer will result in a 14.22% stake dilution.

However, the duo at Centrum highlighted list of risk factors for the company.

The offer for sale comprises 10.75 crore shares by the Union government.

GIC Re is the largest reinsurance company in India in terms of gross premiums accepted in financial year 2017.

Axis Capital, Kotak Mahindra Capital and IIFL Holdings were the bankers managing the sale. Ltd and a bunch of other investment firms as backers, sailed through on the final day with support from institutional and retail investors. "The anchor book, which is available in the public domain, identifies the calibre of investors who were interested in participating in the offer and shows their confidence in the company", the spokesperson added. The earlier offer size, excluding the anchor book, was 4.24 million shares.

The company said on Wednesday it was reducing the number of shares initially allotted to anchor investors after it was informed of a rule that does not allow subscriptions by foreign portfolio investors. Companies are required to set aside a proportion of the IPO shares for anchors who are part of qualified institutional buyers.

Indian Energy Exchange (IEX) on Saturday garnered a little over Rs 300 crore from anchor investors. The anchor portion has now reduced to Rs 130 crore.

"The company would like to reiterate that this development is arising out of regulatory concerns raised by the custodians rather than any pricing concern".

The company, along with the BRLMs, has made a decision to focus on domestic investors in order to avoid any changes to the offer timetable and achieve listing as anticipated, he said.



Like this

loading...
loading...

Latest


11 October 2017
Dolphins hire Dave DeGuglielmo as senior offensive assistant
Gase even credited Foerster as a good coach who put in long hours and "worked as hard as he could" for the team. DeGugliemo operated as the Los Angeles Rams assistant offensive line coach from 2016-Oct.

11 October 2017
Bank of New York Mellon Corp Increases Stake in Tesco Corporation (TESO)
The fund owned 643,469 shares of the oil and gas company's stock after acquiring an additional 42,690 shares during the period. It last reported revenues of $7.78 million and EPSfor the June 2017, representing 49% top-line growth and 35.3 EPS growth.

11 October 2017
Host Hotels & Resorts Inc (NYSE:HST) Stock Price Up as Sentiment Improves
On average, analysts forecast that Host Hotels and Resorts Inc will post $0.77 earnings per share for the current year. This company shares are 5.4% off its target price of $19.33 and the current market capitalization stands at $13.48B.

11 October 2017
Amazon targets teen shoppers with new account sharing feature
Any time they make a purchase, teens will be able to include a note that explains (or argues) why they need the particular item. On this page, there's now a new option to add a teen, as well as configure the settings associated with their account.

11 October 2017
Aamir Khan and Zaira Wasim promote Secret Superstar in Delhi
The makers released a new song from this film starring Zaira Wasim and Aamir Khan and the fans love this strangely catchy song. This in turn will help exhibitors to share the latest movie going preferences with the film industry.

11 October 2017
Philip Morris International's (PM) Outperform Rating Reaffirmed at Wells Fargo & Company
Perpetual Ltd acquired a new stake in Philip Morris International during the 2nd quarter worth about $1,867,000. (NYSE:PM). Deroy And Devereaux Private Inv Counsel has invested 0.04% of its portfolio in Philip Morris International Inc. (NYSE:PM).

11 October 2017
A Rainy & Mild Day
Highs will warm into the mid- to upper 80s, with heat indexes once again approaching 100 degrees on Monday , the forecast says. Patchy frost was possible this morning in the Omaha area before sunny skies and a high temperature in the lower 60s prevail.

11 October 2017
Red Sox manager John Farrell won't return in 2018
They were swept out of the Division Series by the Indians last season and lost 3-1 to the Astros this year. In total, his record as the manager stands at 432-378, earning three division titles (2013, 2016, 2017).

11 October 2017
United Kingdom government considers social media levy to combat online abuse
Among the options is an "industry-wide levy" that would be used to fund schemes that "raise awareness and counter internet harms". No financial figure has been mentioned and would involve consultation with the industry and other stakeholders.

11 October 2017
BlackRock Beats Q3 Views As Investors Keep Pouring Money Into ETFs
The firm's share price was up 0.75 per cent in premarket trading at 2pm United Kingdom time. Fees from the company's index-tracking iShares rose 38 percent to $1.07 billion.