Power Finance IPO oversubscribed 77.24 times

Nifty BSE | NSE 25/05/12 Are Mutual Funds betting on Nifty?

Power Finance Corporation, PFC, a leading power sector public financial institution, has been received good response from investors as the issue received 9.06 billion bids against its issue size of 11.73 crore equity shares while 32.78 crore bids at cut off price.

The issue was oversubscribed 77.24 times, as per NSE website.

Major participation was seen from qualified institutional investors, as their portion oversubscribed 137.16 times; non-institutional investors 48.80 times and retail 8.53 times.

Subscription details

Investors	Times
Qualified institutional buyers	137.17
Non institutional investors	48.81
Retail individual investors	8.54
Employee Reservation	1.15
Total	77.24

 

 

 

 

The issue is open for subscription with an initial public offer, IPO of 117,316,700 equity shares of Rs 10 each to the public, through a 100% book building process.

The issue comprises reservation of 2,500,000 equity shares for subscription by the employees of the company and a net issue to the public of 114,816,700 shares. The company has set the price band at Rs 73 to Rs 85.

The issue would constitute 10.22% of the fully diluted post-issue capital of the company.  

The objects of the issue are to augment the company's capital base to meet the future capital requirements arising out of growth in the company's assets. 

Enam Financial Consultants, ICICI Securities and Kotak Mahindra Capital Company are the book running lead managers to the issue and Karvy Computershare is the registrar to the issue.