vengabeats
Nilesh Nagdev
Mumbai: The initial public offer of Reliance Petroleum (RPL) has broken all records. The IPO has been subscribed 52 times and has received applications worth around US$ 31 billion, almost double the US$ 16 billion ONGC received in its issue in 2004.
The qualified institutional buyer (QIB) portion of the issue received 44 times subscription, the high net worth individuals’ (HNI) portion 16 times and the retail individual investors’ portion 9 times. The issue has got 2.1 million retail applications. So far NTPC had received the highest number of retail applications at 14.2 million.
The maximum bids have been made at Rs 62 -- the upper end of the band. The company sold shares through nine investment banks, including Citigroup and the local joint ventures of Merrill Lynch and Morgan Stanley.
Analysts said the huge success of the IPO was a crowning glory for Mukesh Ambani. For a greenfield project, which had nothing to show on the ground, the promoters' track record alone prompted such a huge response, they said.
RPL, subsidiary of Reliance Industries, was set up to build a refinery and polypropylene plant in the special economic zone of Jamnagar.
The issue is being made to part finance the Rs 27,000 crore export oriented refinery being set up by the company next to its existing refinery project. The SEZ refinery would focuses more on supplying Euro IV grade diesel and gasoline to the EU countries and also to the US market.
RIL has come up with IPO almost after 29 years as the last IPO of Reliance group had hit the market way back in 1977. The RPL issue had hit the market on April 13 and closed today.
Source : Business Standard
The qualified institutional buyer (QIB) portion of the issue received 44 times subscription, the high net worth individuals’ (HNI) portion 16 times and the retail individual investors’ portion 9 times. The issue has got 2.1 million retail applications. So far NTPC had received the highest number of retail applications at 14.2 million.
The maximum bids have been made at Rs 62 -- the upper end of the band. The company sold shares through nine investment banks, including Citigroup and the local joint ventures of Merrill Lynch and Morgan Stanley.
Analysts said the huge success of the IPO was a crowning glory for Mukesh Ambani. For a greenfield project, which had nothing to show on the ground, the promoters' track record alone prompted such a huge response, they said.
RPL, subsidiary of Reliance Industries, was set up to build a refinery and polypropylene plant in the special economic zone of Jamnagar.
The issue is being made to part finance the Rs 27,000 crore export oriented refinery being set up by the company next to its existing refinery project. The SEZ refinery would focuses more on supplying Euro IV grade diesel and gasoline to the EU countries and also to the US market.
RIL has come up with IPO almost after 29 years as the last IPO of Reliance group had hit the market way back in 1977. The RPL issue had hit the market on April 13 and closed today.
Source : Business Standard