Aavas Financiers IPO subscribed 4% on Day 1

The initial public offer of housing finance company Aavas Financiers was subscribed 4 per cent on the first day of bidding Tuesday.

The IPO to raise Rs 1,734 crore received bids for 6,58,368 shares against the total issue size of 1,47,85,027 shares, data available with the NSE showed.

The portion set aside for qualified institutional buyers (QIBs) was subscribed 9 per cent and retail investors 2 per cent.

The IPO comprises fresh issue of up to Rs 400 crore and an offer for sale of up to 1,62,49,359 equity shares, including anchor portion of 63,36,439 equity shares.

Price band for the offer has been set at Rs 818-821 per share.

Aavas Financiers Monday raised Rs 520 crore from anchor investors.

ICICI Securities Ltd, Citigroup Global Markets India Private Ltd, Edelweiss Financial Services Ltd, Spark Capital Advisors (India) Private Ltd and HDFC Bank Ltd are managing the issue.

The shares of the company will be listed on BSE and NSE.

Aavas Financiers offers housing loans to customers from low and middle income segments in semi-urban and rural areas.