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The initial public offering of Mahanagar Gas was subscribed fully on the first day itself, thanks to qualified institutional investors (QIB) and retail investors.
All-round responseAccording to data from the exchanges, the QIB portion was subscribed 1.82 times. The portion received bids for 89.07 lakh shares against 48.98 lakh shares on offer.
The 85.73 lakh shares set aside for retail investors received bids for 93.09 lakh shares, an oversubscription of 1.09 times.
Other categories, such as non-institutional investors (NII) and employees’ portion received bids for just 23 per cent and 2 per cent, respectively.
Mahanagar Gas, which plans to raise around ₹1,040 crore through the issue, has fixed the price band at ₹380-421 a share.
Ahead of the IPO on Monday, India’s second-biggest CNG retailer had raised ₹309.3 crore from 25 anchor investors. These include BNP Paribas, Morgan Stanley, DB International Asia, Abu Dhabi Investment Authority, Merrill Lynch Capital Market and DSP BlackRock They bought those shares at ₹421 apiece.
The company, promoted by State-run GAIL and British Gas Asia Pacific Holdings Pte Ltd, is making an offer-for-sale of about 2.47 crore equity shares of ₹10 each. British Gas and GAIL are selling a little over 1.23 crore shares each through the issue.
Mahanagar Gas is a major distributor of compressed natural gas and piped natural gas in Mumbai and adjoining areas.
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