Hudco's Rs 1,200-cr IPO to open May 8

Housing and urban infra projects lender plans to sell 204 mn shares in range of Rs 56-60 a share

Housing and Urban Development Corporation (Hudco's) initial public offering (IPO) will hit the markets on May 8. The centre will dilute 10.13 per cent (204 million shares) stake in the housing and urban infrastructure financer in the IPO as a part of its 2017-18 disinvestment programme. The price band for the IPO has been set at Rs 56-Rs 60 per share. Retail investors and employees are being offered a discount of Rs 2 per share on the issue price.

At the top end of the price band, the centre will raise around Rs 1,200 crore. The issue will close on May 11 and bids will not be accepted on May 10, 2017, being a public holiday.

IDBI Capital Markets, ICICI Securities, Nomura Financial and SBI Capital Markets are the investment banks handling the IPO.

The last IPO by a state-owned company was by All Prices in NBCC (India) in March 2012. The government is planning to raise Rs 72,500 crore through disinvestment in fiscal 2018. Last week, the government divested 10 per cent stake in Nalco to raise Rs 1,200 crore.