NSE IPO: ₹22,562 crore issue subscribed 15% in first hour; GMP falls to 8%

The ₹22,561.57-crore initial public offering (IPO) of the National Stock Exchange (NSE) was subscribed 15% within the first hour of bidding on Thursday, led by demand from non-institutional investors (NIIs) and retail investors.

As of 10:40 am, investors had bid for 1.30 crore shares against 8.86 crore shares on offer, translating into an overall subscription of 0.15 times, according to data available on the BSE.

The NII portion was subscribed 0.23 times, while the retail category saw subscription of 0.19 times. The employee quota was subscribed 0.38 times.

The qualified institutional buyers (QIB) portion, which has 2.52 crore shares reserved, had received bids for 1,848 shares by the time of reporting.

The IPO, which opened for subscription on Thursday, will close on September 21. The issue has a price band of ₹1,700–1,785 per share and comprises entirely an offer for sale (OFS), meaning NSE will not receive any proceeds from the issue.

NSE IPO GMP falls

The grey market premium (GMP) for the NSE IPO has also moderated sharply. The latest GMP stood at ₹140 as of today, implying an estimated listing price of around ₹1,925 against the upper price band of ₹1,785.

At the latest GMP, the implied premium stands at around 7.8% over the upper end of the IPO price band.

The grey market premium has declined from levels of around ₹310 last week, signalling softer demand in the unofficial market ahead of the listing.

The NSE IPO's anchor book, however, saw strong institutional demand, with the exchange raising ₹6,746.18 crore from anchor investors. The anchor book reportedly attracted bids worth nearly ₹1.2 lakh crore, or around 20 times the shares allocated.

NSE allotted 3.78 crore shares to anchor investors at ₹1,785 apiece, the upper end of the price band, ahead of the public issue.

The IPO is one of India's largest public offerings and values NSE at around ₹4.42 lakh crore at the upper end of the price band.

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