The initial public offer (IPO) of auto parts maker Samvardhana Motherson Finance (SMFL) got subscribed 3% on the first day today.
The IPO, which closes on May 4, attracted bids for over 3.87 mn shares against 127.6 mn shares on offer, as per data available on the National Stock Exchange till 1700 hrs.
SMFL has set a price band of Rs 113-118 for the IPO, through which the company aims to mop up as much as Rs 1,665 crore.
The company has already raised Rs 222 crore through allotment of shares to four anchor investors, including the Government of Singapore.
It has issued over 1.93 crore equity shares to anchor investors at a price of Rs 115 per share, raising Rs 222.03 crore in the process.
SMFL's initial share sale would be the largest private sector offer after JSW Energy mopped up about Rs 2,700 crore through IPO in December 2009, according to market sources.
This would also be the first IPO that aims to raise over Rs 1,500 crore so far in 2012.
"Out of Rs 1,665 crore we are raising from this issue, over Rs 950 crore will be used for debt repayment, Rs 170 crore for expansion of our new companies and the remaining for other corporate purposes," Samvardhana Motherson Group Chairman Vivek Chand Sehgal had said on Monday.
Standard Chartered Securities India and JPMorgan India are the book running lead managers to the issue.