Mumbai: London-based Standard Chartered Plc (StanChart) on Sunday decided to price its maiden 240 million Indian depository receipts (IDR) issue at Rs100-115 per IDR.
The issue will be open Tuesday to Friday, after which the final price will be set. “Retail investors and eligible employees subscribing to IDRs under the retail and the employee portion, respectively, and whose bid amount does not exceed Rs1 lakh, will benefit from a further 5% discount to the final issue price,’” StanChart said in a statement.
IDR is a rupee-denominated instrument in the form of a depository receipt against the underlying equity of the issuing company. On Monday, the issue will open for anchor investors, who invest ahead of others and whose reputation gives confidence to other investors.
Anchor investors are allowed to buy up to 30% of the portion of any float that is kept for qualified institutional buyers (QIBs). At least 50% of the IDRs are to be subscribed by QIBs such as banks and finance companies.
Allotment of the IDRs is scheduled to be completed by 7 June, with listing on the Bombay Stock Exchange and the National Stock Exchange.