BEML subscribed 30 times, HDIL 6.6

The public offerings of mining and construction equipment major Bharat Earth Movers (BEML), and real estate developer Housing Development and Infrastructure Ltd (HDIL) closed on Tuesday, attracting heavy response from investors.

The BEML issue was subscribed 30 times, while HDIL received bids 6.6 times than its issue size.

Backed by huge interest from qualified institutional buyers (QIB), BEML's follow-on public offer (FPO) was subscribed 30.65 times, as per data on the National Stock Exchange at 8 pm.

The QIB portion of the issue was subscribed a whopping 63 times, while the issue garnered good retail response with retail portion subscribed 2.6 times, sources said.

BEML is selling 4.9 million equity shares, which opened for subscription on June 27 and received nearly 148 million bids for the total shares on offer. The price band for the issue was Rs 1,020-1,090 a share.

The issue comprises 11.77 per cent of the fully diluted post-issue paid-up equity capital of the company. Post-issue, the government's holding in BEML would be around 54 per cent.

The issue proceeds will fund infrastructure expansion of the metro coach manufacturing facility at Bangalore and other capital expenditure including the upgradation of current facilities.

The company also intends to use part of the proceeds to set up a 5 mw windmill for captive use and an R&D centre of excellence for metro coaches with some portion earmarked for a voluntary retirement scheme for employees.

The Mumbai-based HDIL's initial public offer (IPO) was subscribed 6.60 times, as per data available on NSE website at 8 pm. The issue was priced in a band of Rs 430-500 a share. The proceeds from the issue will be used to acquire land and land development rights, besides continuing HDIL's ongoing projects like slum rehabilitation project.

Meanwhile, IT infrastructure management services provider, Allied Digital Services, which opened for subscription on Monday with an IPO of 4.52 million equity shares was subscribed 0.11 times. The issue has been priced at Rs 170-190 a share.

The issue closes on July 5. Anand Rathi Securities is the book running lead manager to the issue.