India Grid InvIT IPO subscribed 7% on Day 1

By Selene 0

New Delhi: The IPO of India Grid InvIT to raise Rs2,250 crore was subscribed 7% on the first day of the offer on Wednesday.

The initial share-sale offer received bids for 84,19,950 shares, as compared to the total issue size of 12,62,78,838 shares, as per NSE’s data. Institutional Investors’ portion was subscribed 3% and other investors 11%.

The InvIT, sponsored by Sterlite Power Grid Ventures Ltd, yesterday raised over Rs1,012 crore from anchor investors.

India Grid Trust or IndiGrid plans to raise Rs2,250 crore through its initial share-sale offer, which will close on 19 May. It has a price band of Rs98-100 per unit. This is the second IPO by an InvIT after IRB InvIT Fund. The IPO of IRB InvIT Fund was subscribed 8.57 times earlier this month.

InvITs are debt instruments that are traded in the market and can act as investment vehicles for sponsors. The listing of instruments enables promoters of infrastructure to monetise completed assets and raise funds for other long-term projects.

IndiGrid is an infrastructure investment trust established to own inter-state power transmission assets in India.

Morgan Stanley India, Citigroup Global Markets India and Edelweiss Financial Services are the lead managers to the issue. The units of IndiGrid are will be listed on the BSE and NSE.

First Published: Wed, May 17 2017. 08 01 PM IST