L&T Technology Services IPO subscribed 17.8% in opening day

The initial public offering (IPO) of L&T Technology Services Ltd on Monday was subscribed 17.8 percent, according to data from stock exchanges.

The data showed that the IPO issue received applications for 1.29 million shares as against an offer of 7.28 million in the opening day of the offerings.

The three-day share sale, which opened on Monday, will close on September 15 and the price brand for the issue is set at Rs 850-860 apiece.

Larsen & Toubro Ltd (L&T) is looking to mop up about Rs 890 crore through the share issue and L&T Technology Services, on Friday raised Rs 268.32 crore by selling shares to anchor investors at Rs 860 a share.

JP Morgan Funds, DSP Blackrock Mutual Fund, Sundaram Mutual Fund, FIL Investments (Mauritius) Ltd, Blackrock India Equities (Mauritius) Ltd, Oaktree Emerging Markets Mauritius Holdings Ltd and Vanguard Emerging Markets Select Stock Fund have participated in the anchor booking.

The anchor book is the part of an IPO issue that bankers allocate to institutional investors on a discretionary basis. This subscription opens before the IPO kicks off.

According to data, the institutional investor category was subscribed 28 percent as 5.78 lakh applications were received against an offer of 2.08 million. The non-institutional investors including high-net-worth individuals subscribed 0.02 percent of the total offer of 1.56 million in the segment.

Retail investors, whose investments cannot surpass Rs 2 lakh per individual, subscribed to 6.91 lakh shares, 19 percent of the 3.64 million shares on offer for the category.

India's largest engineering and construction company, L&T is divesting a 10.2 percent stake in its engineering, technology research and development subsidiary at a valuation of around Rs 8,800 crore.

--IANS

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