HUDCO IPO oversubscribed 79.49 times on final day

THE INITIAL public offer (IPO) of state-owned Housing and Urban Development Corporation (HUDCO) was oversubscribed 79.49 times on the final day of offer on Thursday.

The IPO to raise Rs 1,224 crore received bids for 16,22,12,70,600 shares against the total issue size of 20,40,58,747 shares, data available with the NSE showed. The category reserved for qualified institutional buyers (QIBS) was oversubscribed 55.45 times and non institutional investors a huge 330.36 times. Retail investors portion was also oversubscribed 10.60 times.

HUDCO which provides loans for housing and urban infrastructure projects has fixed the price band at Rs 56-60 per equity share. The shares of the company are proposed to be listed on the BSE as well as the NSE.

Of the total outstanding loan ofrs36,385croreasondecember 31, 2016, HUDCO has financed 69 per cent to urban infrastructure projects and 31 per cent to the housing sector. Earlier this year, theipoofavenuesupermarts,the operator of retail chain D-mart was oversubscribed by a staggering 104.48 times.

Meanwhile, Kotak Mahindra Bank said it is planning to raise about Rs 5,662 crore through sale of 6.20 crore shares through qualified institutional placement (QIP). This share sale is part of stake reduction exercise by its promoter Uday Kotak, the vicechairman of the bank, as per the RBI advice. . "Shareholders of the bank have approved and declared the opening of (QIP) issue today," Kotak Mahindra Bank said in a regulatory filing on stock exchanges.