Vodafone Idea’s follow-on public offering (FPO) witnessed full subscription on the final day of bidding, buoyed by robust interest from institutional and high-net-worth individual (HNI) investors. The telecom operator’s FPO, priced in the range of Rs 10-11 per share, garnered significant traction, marking it as the largest follow-on offer in the Indian markets with an issue size of Rs 18,000 crore.
On the first day of bidding, the FPO recorded a subscription rate of 29%, which surged to 54% by the end of the second day. As the bidding concluded on Monday, April 22, investors exhibited strong demand, with bids pouring in for 3.97 times the total equity shares offered for subscription, amounting to 50,07,11,08,032 shares.
Investors had the opportunity to apply for a minimum of 1,298 shares and multiples thereafter. The offering comprised a fresh share sale of 16,363,636,363 equity shares. Notably, the portion allocated for qualified institutional bidders (QIBs) witnessed robust demand, oversubscribed by 10.42 times, while non-institutional investors subscribed 3.17 times their quota. However, the subscription rate for retail investors stood at 63% by the end of the bidding period.
With the successful subscription of Vodafone Idea’s FPO, the telecom industry awaits further developments as the company navigates its strategic initiatives amidst evolving market dynamics.
