Vodafone Idea FPO: Subscribed 6.36 times amid market volatility

VODAFONE IDEA’S (VIL) Rs 18,000 crore follow-on-public offer (FPO), the largest in the country, was oversubscribed on Monday amid volatile market conditions.

The FPO was subscribed 6.36 times on April 22, the final day of bidding. Investors offered bids for 8,012.29 crore equity shares as against 1,260 crore shares offered by the telecom player in the FPO, as per the data available of the exchanges. The retail portion of the FPO was subscribed 0.92 times. Retail investors picked 576 crore shares as against their allotted quota of 630 crore shares.

The qualified institutional buyers (QIBS) portion, which included foreign institutional investors (FIIS), domestic financial institutions such as banks, financial institutions (FIS) and insurance companies, got oversubscribed 17.56 times, with investors bidding for 6,321 crore equity shares as against 360 crore on offer. Non-institutional investors (NIIS) bought 4.13 times of their allotted quota of shares.

The FPO opened for public subscription from April 18 to April 22. The price band was set at Rs 10-11 per share. The shares Vodafone on Monday ended at Rs 12.89 apiece, down 0.23 per cent.

Last week, the telecom operator raised Rs 5,400 crore from institutional investors from the anchor book. The company allotted 490.9 crore shares to 74 funds at Rs 11 apiece, which was the upper end of the price band.

Of the total allocation to anchor investors, 79.52 crore stocks, or 16.2 per cent of the total, were allocated to five domestic mutual funds through a total of 11 schemes.