SBFC Finance IPO Achieves 57.44 Times Subscription on Final Bidding Day

7 Aug 2023 , 03:32 AM

The initial public offering (IPO) of SBFC Finance, a non-banking finance company, has garnered remarkable demand, with a subscription of 57.44 times by 3.30 PM of August 7, marking the conclusion of the bidding period.

Investors displayed strong interest, bidding for a substantial 766.93 crore equity shares against the offer size of 13.35 crore, as indicated by subscription data available through the exchanges.

Notable subscription figures include retail investors oversubscribing their allotted quota by 10.29 times, while the employee allocation, entitling them to shares worth Rs 10.54 crore, saw a subscription of 5.35 times.

High net worth individuals (HNIs) exhibited significant interest, bidding 46 times their reserved portion, while qualified institutional buyers (QIBs) demonstrated robust demand, oversubscribing their allotment by an impressive 151.28 times. The IPO allocation structure designates 50% for QIBs, 15% for HNIs, and the remaining 35% for retail investors.

With the IPO offering priced in the range of Rs 54 to Rs 57 per share, the subscription period began on August 3.

SBFC Finance secured Rs 304.42 crore from anchor investors, including prominent entities such as Abu Dhabi Investment Authority, Steadview Capital Master Fund, Amansa Holdings, Carmignac Portfolio, Think India Opportunities Master Fund LP, SBI Mutual Fund, ICICI Prudential, and Tata Mutual Fund.