IndiGo-parent InterGlobe Aviation's Rs 3,018-crore initial public offer, the biggest in nearly three years, was over-subscribed by 1.55 times on the second day of bidding today.
IndiGo-parent InterGlobe Aviation’s Rs 3,018-crore initial public offer, the biggest in nearly three years, was over-subscribed by 1.55 times on the second day of bidding today.
The IPO generated demand worth over Rs 4,000 crore, as it received bids for 4,67,45,535 shares against total issue size of 3,01,22,088 shares, taking the overall subscription to 1.55 times, data available with the NSE till 1700 hrs showed.
The quota reserved for qualified institutional buyers (QIBs) saw overwhelming response with over-subscription of 5.15 times.
The portion reserved for retail investors witnessed 19 per cent subscription and non-institutional investors category was subscribed 4 per cent, the data showed.
This is the largest IPO in the Indian market since Bharti Infratel’s over Rs 4,000-crore public offer in December, 2012.
InterGlobe Aviation has raised Rs 832 crore from anchor investors by allotting shares at the upper limit of price band at Rs 765 apiece. The offer invites subscrition in the price band of Rs 700-765 per share.
The company had reduced its initial share sale size to a little over Rs 3,018 crore last week, with three of the promoters deciding to sell less number of shares than proposed earlier.
The offer comprises fresh issue of shares worth Rs 1,272.2 crore and the revised Offer for Sale (OFS) size that would be about Rs 1,746 crore. Together, the share sale can rake in up to Rs 3,018.2 crore.
The IPO closes tomorrow.
Barclays Bank PLC, Kotak Mahindra Capital Company Limited and UBS Securities India are managing the issue.
IndiGo has a fleet of 98 aircraft and about 75 of them are on operating lease – a business model which has helped it lower costs.