The Bharti Hexacom’s stock will be listed at the bourses today. The company has fixed the IPO price at ₹570. The ₹4,275-crore issue came out with a price band of ₹542-570

Thanks to a strong response from institutional investors, the public issue of Bharti Hexacom was subscribed nearly 30 times. The portion allocated for QIBs was subscribed 48.57 times, while the respective quota for non-institutional investors and retail investors was subscribed 10.52 times and 2.83 times, respectively.

Prashanth Tapse, Senior VP (Research), Mehta Equities, said, ““Despite 100% OFS, Bharti Hexacom IPO received solid response on the last day of its issue biding wherein QIB (48.57x) and NII (10.51x) investors looked more aggressive to grab midcap telecommunication growth story followed by muted retail investors interest who bided only 2.81 times to the allotted quota. Overall it got oversubscribed by 29.87x.”

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“While considering the current optimistic uptrend in the markets, along with healthy subscription demand from all sets of investors, we expect Bharti Hexacom to list a healthy 10-12 per cent higher to its issue price of ₹570,” he said.

The entire issue is an offer-for-sale of 7.5 crore shares by Telecommunications Consultants India, the lone public shareholder in Bharti Hexacom, which is diluting its 15 per cent stake. Promoter Bharti Airtel owns 70 per cent stake in the company.

Bharti Hexacom had raised ₹1,923.75 crore from anchor investors by allocating 3.37 crore shares at ₹570 per share ahead of the issue.

Marquee investors

In all, 97 institutional investors, including some marquee names such as Blackrock Global Funds, Pictet, Smallcap World Fund, Capital Group, American Funds, Fidelity Funds and Abu Dhabi Investment Authority were among the anchor investors. Others were Stichting Depository APG, Aberdeen, Schroder International, Treasurer of the State of North Carolina Equity Investment Fund, BNP Paribas Trust Services Singapore, Eastspring Investments, Morgan Stanley and HSBC.

Domestic fund houses, including SBI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual Fund, Aditya Birla Sun Life Trustee, Axis Mutual Fund, Kotak Mutual Fund, Nippon Life India, Mirae Asset, UTI Mutual Fund, Franklin, Tata Mutual Fund, DSP Mutual Fund, Whiteoak Capital, Sundaram Mutual Fund, Bandhan Mutual Fund, and PGIM India, also participated.