Bharat Dynamics IPO oversubscribed 14% on last day as QIBs flock the issue

By: |
Updated: March 15, 2018 5:51:11 PM

The IPO of Bharat Dynamics which opened on Tuesday, 13 March 2018, got oversubscribed by 14% on the last day of bidding with QIBs flocking the issue.

At the end of day two, the public offer of Bharat Dynamics was subscribed 45.9%. (Image: Company Website)

The IPO (initial public offering) of Bharat Dynamics which opened on Tuesday, 13 March 2018, got oversubscribed by 14% on the last day of bidding with QIBs flocking the issue. The Hyderabad-based PSU missile and weapon manufacturer Bharat Dynamics had expected to raise about Rs 961 crore from its initial share sale at the upper end of the price band of Rs 428 per equity share. Today was the last day to subscribe to the IPO of Bharat Dynamics. In the initial share sale of Bharat Dynamics, the company received bids for 25,591,265 equity shares as against the total offered size of 2,24,51,953.

At the end of day share sale of Bharat Dynamics, the public offer of Bharat Dynamics was subscribed 1.14 times on Thursday with QIBs bidding the most. The quantum allocated to the QIBs got subscribed 1.77 times, the shares reserved for NIIs (non-institutional investors) was subscribed 0.22 times, the portion set aside for retail investors got subscribed 0.68 times. The employee category was subscribed 0.23 times. Bharat Dynamics had offered a discount of Rs 10 per equity share for eligible employees and retail investors.

The state-owned PSU Bharat Dynamics is one of the defence companies in India headquartered in Hyderabad which is engaged in manufacturing of surface to air missiles (SAMs), anti-tank guided missiles (ATGMs), underwater weapons, launchers, countermeasures and test equipment. Bharat Dynamics is a major supplier to the Indian armed forces. Bharat Dynamics is a wholly-owned government of India company under the administrative control of the Ministry of Defence, GoI (Government of India) founded in 1970.

Bharat Dynamics had appointed SBI Capital Markets Ltd, IDBI Capital Markets & Securities and Yes Securities (India) as the book running lead managers to help in its initial share sale with Alankit Assignments Ltd being the registrar to the issue. The floor price was 41.3 times the face value and the cap price was 42.8 times the face value with a P/E (price/earnings) ratio of 19.84 at the upper end of the price band of Rs 428.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Bond street gives Baba Ramdev a cordial welcome; Patanjali’s NCD issue subscribed in 3 minutes
2Dabur India share price jumps 5% as Chyawanprash sales surge; check brokerages’ target price
3Uflex share price zooms 17% as company finds shield against coronavirus