Equitas Holdings IPO subscribed 9% on Day 1

The IPO of Equitas Holdings, the first initial public offering in the current fiscal, was subscribed 9 per cent in the first day of the offer today.
The Rs 2,200 crore-IPO, received bids for 1,21,44,600 shares, as against the total issue size of 13,91,91,802 shares, according to data available with the NSE till 1700 hrs.
Retail investors portion was subscribed 17 per cent.
Equitas has raised Rs 652 crore from anchor investors.
Equitas Holdings, with a licence for a small finance bank, has fixed the price band at Rs 109-110 per share. The initial share sale programme will close on April 7.

Equitas' IPO comprises fresh issue of shares aggregating Rs 720 crore and an offer for sale of up to 132,425,884 equity shares by existing shareholders, including P N Vasudevan, MD, and private equity stakeholders.

The IPO will bring down the company's foreign holding from the present 93 per cent to 35 per cent.
As per the norms, foreign shareholding should be below 49 per cent to operate as a small finance bank.
Funds generated from the fresh issue will be used to develop IT infrastructure for the new bank, for lending purposes, among others.
Axis Capital, ICICI Securities, HSBC and Edelweiss Financial Services are managing the company's IPO.