Vodafone Idea FPO allotment finalised: Check allotment status, latest GMP and other key details
Upstox
4 min read • Updated: April 24, 2024, 2:33 PM
Summary
Vodafone Idea FPO share allotment status news updates: The follow on public offer of India’s third largest telecom operator received better than expected response from investors. The FPO was oversubscribed by 6.36 times. Investors can check the Vodafone Idea FPO allotment status online via the official website of the issue’s registrar.
Vodafone Idea FPO share allotment updates: Vodafone Idea FPO allotment status was finalised on Tuesday, April 23, and now the investors would keep a keen watch on the listing of the shares. The shares of Vodafone Idea follow-on public offer (FPO) are expected to get listed on the stock exchanges on Thursday, April 25.
If you have also been allotted shares in the Vodafone Idea FPO, here are the five key things to know before the listing of the fresh stock on exchanges:
How to check Vodafone Idea FPO allotment online?
Investors can check the Vodafone Idea FPO allotment status online via the official website of the issue’s registrar, Link Intime India Pvt Ltd, and on the website of the National Stock Exchange of India (NSE).
- To check the status on Link Intime website, visit https://www.linkintime.co.in/.
- On the homepage, click on 'Public Issue'.
- Select Vodafone Idea FPO from the drop-down menu available under the Investor Services section.
- Select any one of the following options --PAN/Application Number/ DP Client ID/ Account No/ IFSC.
- Enter the required information and click on submit.
- Your allotment status will be displayed on the screen. In case of successful allotment, the number of allotted shares will also be displayed on the screen
How to check Vodafone Idea FPO allotment via NSE?
- To check the status on NSE, visit nseindia.com.
- Log in to your account or create a new account using the required details.
- Select Vodafone Idea FPO from the dropdown list.
- Enter PAN details and application number as prompted. And click on submit.
Also read: Vodafone Idea approves offer price of ₹11 per equity share
Vodafone Idea stock reaction
Vodafone Idea shares slumped as much as 7% on Wednesday on the NSE to hit an intraday low of ₹13.2 apiece.
Despite today’s fall, the stock is still up 4% higher so far this week as investors turned optimistic after its ₹18,000-crore FPO received strong demand from global institutional investors like GQG Partners, Capital Group and Fidelity Investments.
Vodafone Idea intends to use more than 70% of the FPO proceeds towards strengthening its 4G operations and rolling out 5G networks. As per experts, this could help the company restrict subscriber loss and tackle competition from Reliance Jio and Bharti Airtel.
Vodafone Idea FPO GMP today
As on 24 April, Vodafone Idea FPO GMP, or grey market premium, is in the range of ₹1.5 - ₹2 per equity share over the upper band of the issue price of ₹10-11 per share. This translates into a potential listing gain or around 13% to 15% for successful bidders who have been allotted shares in the FPO.
Grey market premium (GMP) is a rough indicator of how IPO/FPO stock could list in the stock market. It indicates investors' readiness to pay more than the issue price. Although grey market trading is not approved by the stock exchanges and SEBI, many investors track GMP before FPO/IPO shares list on the exchanges. It is important to note that market sentiments and volatility on the listing day can impact the stock’s listing.
Subscription details
The Vodafone Idea FPO was oversubscribed by 6.36 times. The qualified institutional buyers (QIBs) category received subscription of 17.5 times, while the non-institutional investors’ portion was booked 1.41 times. The retail category of the Vodafone Idea FPO, however, received only 92% subscription.
FPO objective, price band and other details
The ₹18,000-crore Vodafone Idea FPO has been one of biggest follow-on offers in India. It was a 100% book-built issue consisting of a fresh issuance of 1,636.36 crore shares. The price band was set in the range of ₹10-11 per share and retail investors were allowed to submit bids with a minimum lot size of 1,298 shares.
Vodafone Idea said that proceeds from the FPO would be utilised for the purchase of equipment to expand network infrastructure and deferred payments for spectrum to the Telecommunications Department. A portion of the money raised would also be used for general corporate purposes.
The company had also proposed to use the FPO proceeds to upgrade its 4G network infrastructure as well as set up 5G network sites. It seeks to upgrade 2G customers to 4G.