New Delhi: On a day on which the Sensex tanked almost 400 points, initial public offers were having a field day. The IPO of Future Capital Holdings, which belongs to the Kishore Biyani-led Future Group, was oversubscribed 130 times on January, the last day of the issue, as per details available in the website of the National Stock Exchange.
The IPO, which opened on 11 January, received subscriptions for bids for around 745 million shares against just 6.4 million shares on offer. Future Capital was looking to raise Rs490 crore at the upper end of the price band of Rs700-765.
The issue constitutes 10.16% of the post-issue paid-up capital of the company. Kotak Mahindra Capital Company Ltd, Enam Securities, JM Financial Consultants Pvt Ltd and UBS Securities India were the book-running lead managers to the first IPO of 2008.
The group plans to use the newly raised capital to enhance its business in asset management, retail financial services and research.
Small talk with CEO Kishore Biyani
“We would target a customer base of 900,000 through the Future Card, which would be launched shortly. The card is a joint venture between the Future Group and the ICICI Bank,” Future Group CEO Kishore-Biyani told Mint, on the sidelines of a press meet held here recently.