The Government’s 2.52 per cent stake sale in state-owned miner NMDC saw robust response from investors with the retail portion getting over-subscribed by 5.40 times on Wednesday.
The 2-day offer for sale (OFS) opened for retail subscription today. Over 8.58 crore bids came in for 1.59 crore shares reserved for them, representing 5.40 times over- subscription, according to the NSE data.
Institutional investors had yesterday put in bids for over 6.36 crore shares -- 1.68 times of the 3.79 crore shares reserved for them. The sale of 2.52 per cent in NMDC at a floor price of Rs 153.50 per share will fetch about Rs 1,200 crore to the exchequer.
The Government had originally planned to sell 1.5 per cent stake in the company, with a green-shoe option to retain an equal quantum. Based on the response from institutional buyers, the Government decided keep the issue size at 2.52 per cent.