Secondary Issues
SBI’s Rs.25,000-Cr QIP oversubscribed 4 times
State Bank of India 's (SBI) INR 25,000 crore institutional share sale was bid more than four times the stock on offer from both local and overseas funds. Domestic funds included Life Insurance Corp of India (LIC), HDFC Life, ICICI Prudential Life Insurance, Quant Mutual Fund and White Oak Capital along with HDFC and ICICI Prudential Mutual Funds, while the foreign investors included Nomura, Millennium Capital Partners, BlackRock Group and Marshall Wace LLP.Against INR 25,000 crore, the QIP drew bids worth INR 1.10 lakh crore from about 120 parties.SBI launched its QIP on July 16 at a floor price of INR 811.05 a piece, at a slight discount of the last traded price. The fundraise is expected to help SBI’s loan growth and strengthen the balance sheet.SBI has appointed six investment banks to manage the issue, including the Indian arms of Citigroup and HSBC, along with ICICI Securities, Kotak Investment Banking, Morgan Stanley, and SBI Capital Markets.
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