News Line
Tech Mahindra IPO priced at Rs 365

8th August 2006: Tech Mahindra Ltd has priced its IPO at the higher end of Rs 365 per share as against the offer band of Rs 315-365 per share.

The IPO of 1.27 crore shares, which closed on August 4, had seen subscription of 72 times.

Market observers said this was the highest oversubscription for any IPO in this fiscal so far and was expected to end a long subdued phase in the primary market.

The issue received robust response from the Qualified Institutional Buyers, particularly the foreign investors, with the QIB portion of the IPO receiving over 104 times subscriptions.

The issue constitutes 11% of the post issue paid up capital of the company and the net issue constitutes 10% of the post issue capital.

The company intends to use the IPO proceeds partly for expanding its existing facilities at Pune.

Kotak Mahindra Capital Company Limited and ABN AMRO Securities (India) Private Limited were the book running lead managers to the issue, while Intime Spectrum Registry Limited was the registrar to the issue.