26 July 2024
The listing of Tamilnad Mercantile Bank's shares, which is scheduled for September 15, is keenly anticipated by those who made investments in the private sector lender through its initial public offering (IPO).Given the less-than-expected interest from investors in its public offering, experts told Moneycontrol that the debut price might be flat or at a slight premium over the final issue price of Rs 525.
The company's full Rs 831.6-crore public offering was a completely new issuance, and the proceeds will be used to strengthen the tier-I capital base in order to meet future capital requirements. Between September 5 and 7, the offer was subscribed to 2.86 times, with retail investors purchasing shares at a rate of 6.48 times the authorized quota, non-institutional investors at a rate of 2.94 times, and qualified institutional investors at a rate of 1.6 times.
