Vodafone Idea Limited’s (Vi) follow-on public offer (FPO) worth Rs 180 billion has been subscribed 26 per cent on the first day of bidding, largely driven by strong demand from qualified institutional buyers (QIBs). However, the non-institutional investors (NIIs) portion saw modest demand, while the retail segment saw relatively weaker interest.
The QIB portion was subscribed 61 per cent on the opening day. Typically, QIBs tend to bid on the final day of the offer. The majority of bids in the QIB portion came from foreign institutional investors (Flls). In addition, the NII portion, for high net-worth individual investors, was subscribed at 28 per cent, while the retail segment saw just 0.06 per cent subscription.
Furthermore, Vi had raised Rs 54 billion from 74 anchor investors by allotting 4.91 billion shares at Rs 11 per apiece. Foreign institutional investors such as UBS, AustralianSuper, Fidelity, Redwheel Funds, Abu Dhabi Investment Authority, Allspring Global Investments, Morgan Stanley Investment Funds, Government Pension Fund Global, Copthall Mauritius Investment, and Societe Generale were among those that subscribed to the telco’s anchor book. Additionally, domestic mutual funds like HDFC, Quant, Motilal Oswal, Baroda BNP Paribas, and 360 One were also among the anchor investors.
The FPO, priced in a range of Rs 10-11 per share, is scheduled to close on April 22, 2024.
