NBCC issue price fixed at Rs 106, to list on April 12

The government today fixed the share issue price for state-owned National Buildings Construction Corporation's (NBCC) public offer at Rs 106 per share to raise about Rs 127 crore.

The shares of NBCC would be listed on the Bombay Stock Exchange and National Stock Exchange on April 12.

The price band of the IPO had been fixed at Rs 90-106 per share. At the lower end, the government would had raised about Rs 108 crore.

"The issue has been subscribed 4.93 times, of which 4.74 times is at the top end of the price band. Hence the issue price can be justifiably fixed at Rs 106," Disinvestment Secretary Mohd Haleem Khan said.

The initial share sale offer, that closed yesterday, got subscribed by nearly five times. The category reserved for retail investors was subscribed 3.1 times, while the portion meant for qualified institutional buyers (QIB) was subscribed 7.07 times. HNI portion attracted bids 1.7 times the shares on offer.

NBCC, which is under the administrative control of Ministry of Urban Development, provides project management consultancy services for construction projects, civil infrastructure for power sector and real estate development.

NBCC is the government's third and last disinvestment candidate in the current fiscal, after Follow-on Public Offer of Power Finance Corp (PFC) in May 2011 and sale of shares through a one-day auction of ONGC earlier this month.

The government has raised a total of Rs 13,894 crore from PFC's FPO and ONGC share sale.