India's Avenue Supermarts IPO fully subscribed on first day

The strong investor appetite for the initial public offering (IPO) of Avenue Supermarts Ltd (ASL), the parent of retail chain DMart, saw the issue being subscribed over 104 times on the last day of the offer. This converts into bids worth Rs 1.38 trillion.

Kotak Mahindra Capital is a global co-ordinator and book running lead manager to the issue.

According to data from the bourses, the institutional part of the offer was subscribed almost 150 times, while the high networth individual (HNIs) portion was subscribed 281 times and the retail portion about 7.5 times. The portion set aside for non-institutional investors such as corporate houses and wealthy individuals was covered about 277.74 times.

The issue received more than 18 lakh applications and the number is estimated to reach about 20 lakh at close of bid counting.

This is one of the best responses to an IPO in the recent past.

Its IPO is the country's biggest since PNB Housing Finance Ltd raised 30 billion rupees in an initial share sale in October.

Earlier, it had raised almost Rs 561 crore by allotting shares to anchor investors.

Music Broadcast IPO, which opened on Monday, was subscribed 39.67 times as the company received bids worth Rs 13,583 crore from non-anchor investors.

More than Rs 1.5 lakh crore of investor money has been blocked. The IPO came in the price band of Rs 295-299 per share.

  • Zachary Reyes