IPO of Creditaccess Grameen oversubscribed 2 times
India's third-largest NBFC in microfinance segment, Creditaccess Grameen receives tepid response from retail investors. The Initial Public Offering (IPO) of Creditaccess was subscribed 1.95 times at noon, on the last day of its subscription.
The company is a non-banking Microfinance Institution (MFI) engaged in lending to women customers in rural India. The IPO consists of 1,88,29,684 equity shares of face value Rs. 10 per equity share. The minimum lot size is 35 shares in the price band of Rs. 418 to 422 per share.
At 15:45 hours, the IPO of CreditAccess Grameen Limited was subscribed 2.09 times. The cumulative bid received for the IPO were 3,93,34,155, of which a total of 57,60,125 bids were received at cut-off price. On its last day of subscription, the issue was close to being oversubscribed two times.
The Qualified Institutional Buyers (QIB) portion of IPO offered 53,55,555 shares, of which 42,47,845 shares were subscribed, that is, 79 per cent subscription.
Earlier, under the Anchor Investors (AI) portion of the IPO, 8,041,617 equity shares were subscribed by 21 AIs on Tuesday. The AI portion was subscribed at price of Rs. 422 per share by FPIs including Neuberger Berman Emerging Market Equity Fund and Eastspring Investments India equity fund at 13.26 per cent and 12 per cent, respectively. Among Mutual Funds 6 fund houses subscribed to the AI portion including ICICI Prudential Banking and Financial Services Fund, Sundaram Mutual Fund, Tata Value Fund subscribed for 11.79 per cent, 7.37 per cent and nearly 5 per cent, respectively.