This story is from October 24, 2016
oversubscribed
1.54 times in non-retail category and 1.50 times inretail
category. On offer was 15% paid-upequity
capital of the company comprising 9,00,00,000 shares, each of FV of Rs 2. Out of the shares on offer for sale, 20% were reserved for retail investors. The closing price on 19/10/2016 was Rs.253.00 (BSE)/ Rs.253.30 (NSE) and floor price was fixed at Rs.246.50. As per the new SEBI guidelines, only non-retailinvestors
were allowed to place their bids on October 20 (T Day) for non-retail portion, and retail investors were allowed to bid on October 21 (T+1 day). The retail investors bid today (T+1) for 20% of the portion reserved for them, i.e., 1,80,00,000 equity shares of the Company amounting to Rs.443.70 crore at floor price. They had the option to place a price bid or opt for bidding at cut off price. The new arrangement provides retail investors the benefit of discovering the cut off price of T day and place their bids on T+1 day on a more informed basis than was the case earlier. As usual retail investors i.e. those investors who place bids for shares of total value of not more than Rs.2.00 lakh, will in addition be entitled to a 5% discount. The discount to retail investors shall be applicable to bids received today (T+1).