The initial public offer (IPO) of HDFC Standard Life Insurance was subscribed nearly five times on the last day of the exercise yesterday.
The issue received bids for 1.076 billion shares, which is 4.90 times against 219.8 million shares offered by the company. The portion reserved for qualified institutional buyers was subscribed 16.6 times, non-institutional investors 2.29 times and retail investors 0.94 times.
The company planned to raise up to INR87 billion (US$1.34 billion), and had fixed the IPO price range at INR275 to INR290 per share for the public offer.
HDFC Standard Life Insurance on Monday had already collected INR23.22 billion from anchor investors including Norwegian fund Norges, Kuwait Investment, Fidelity, Blackrock and JP Morgan and Singapore's sovereign wealth fund Temasek, at the higher end of the price band.
HDFC Standard Life, the third largest private sector life insurance company in India, is a joint venture between mortgage loan provider HDFC and Edinburgh-headquartered Standard Life. After the IPO, HDFC holds a 51.69%, stake in the company while Standard Life owns 29.35%.