NMDC FPO subscribed 1.24 times

The follow-on-public offer of NMDC has been fully subscribed on last day of the issue. Qualified institutional investors (QIIs) led by insurance giant Life Insurance Corporation of India (LIC) and other domestic institutional investors helped the issue sail through.

India largest iron ore producer, FPO was subscribed 1.24 times, as per data available on the NSE website. The issue received total bids for 412.57 million equity shares against the offer of 332.24 million equity shares. Data shows that most of the bids were at the lower end of price band of Rs 300 per share.

The stock hit four-month low of Rs 355 during intra-day trades, and finally settled at 1% higher to Rs 363 on the BSE. The brokerages had said that the follow-on-offer (FPO) was one of the most expensive on the basis of the price to earnings (P/E) ratio of the company.