Reliance Nippon Life AMC IPO subscribed 4.64 times on Day 11 min read . Updated: 25 Oct 2017, 08:53 PM IST
The Reliance Nippon AMC IPO's subscription figures on Day 1 are higher than that of D-Mart and Cochin Shipyard IPOs earlier this year
Mumbai: The initial public offering (IPO) of Reliance Nippon Life Asset Management Ltd, India’s third-largest mutual fund manager, was subscribed 4.64 times on Wednesday, the first day of the share sale, data from stock exchanges showed.
As of 5pm, the portion of shares reserved for institutional investors in the Reliance Nippon AMC IPO saw a subscription of 6.13 times, while the portions reserved for retail investors and high net-worth individuals (HNIs) were subscribed 0.9 times and 11.38 times, respectively.
The Reliance Nippon AMC IPO witnessed investments from investors like Rakesh Jhunjhunwala, Nimesh Shah and Aakash Bhansali, CNBC-TV18 reported on Wednesday.
This is the highest first-day subscription for any IPO this year, ahead of D-Mart parent Avenue Supermarts Ltd and state-owned Cochin Shipyard Ltd, which were subscribed 1.35 times and 0.92 times on the first day of their respective initial share sales.
Reliance Nippon AMC has priced its shares in a price band of Rs247-252. The IPO will close on 27 October.
The Rs1,542crore IPO comprises a fresh issue of shares worth Rs617 crore. Promoters Reliance Capital and Nippon Life will collectively sell 36.72 million shares, which at the upper end of the price band will fetch Rs925 crore. Reliance Capital will sell shares worth Rs283 crore, while Nippon Life will offload shares worth Rs642 crore.
On Tuesday, Reliance Nippon raised Rs462.67 crore by selling shares to 24 institutional investors as part of its anchor book allocation.
Institutional investors that participated in the anchor book allocation include Abu Dhabi Investment Authority, Kuwait Investment Authority, Fidelity International, Morgan Stanley, HDFC Mutual Fund, SBI Mutual Fund and insurers such as ICICI Prudential Life Insurance and Bajaj Allianz.
Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.