The price band for initial public offerings (IPOs) has widened after a nudge from the Securities and Exchange Board of India (Sebi), with the average difference rising to 3.6 per cent after the regulator issued a discussion paper in this regard.
The average difference between the minimum and maximum price that companies set for 10 IPOs that came before the discussion paper was 2.3 per cent.
In October, Sebi issued a discussion paper highlighting the extremely narrow band companies were fixing for their IPOs. However, the market appeared to have received the message even before the regulator could firm up final rules.
“Bankers