Dena Bank Issue Fully Subscribed

At the government level, the move to allow public sector banks to tap the market now was to perk up the sentiment in the primary market. The success of the Dena Bank issue is expected to do that, sources said.

The initial public offer, which closed yesterday, saw Rs 14 crore coming in on the last date. Lead managers to the issue SBI Capital Markets stated that the issue has been oversubscribed by a marginal amount. They added that a large part of the subscription came from the retail investor.

This was sue to hard marketing on our part to sell the equity issue, merchant bankers said. The chairman and managing director of Dena Bank, Ramesh Misra said the issue has got a subscription of over Rs 180 crore. The money is still flowing in and we will get an exact figure in a few days time, he said.

The other bank issues in the pipeline include that of Bank of Baroda, Canara Bank, Corporation Bank and Bank of India. It is felt that BoB will the first to tap the market after Dena Bank. BoBs issue is being hotly awaited in the market in Mumbai and western India. Canara Bank and Corporation Bank are expected to get their subscriptions from the south.