Vodafone Idea FPO: Stock gains 4% as GQG leads strong anchor book demand
Upstox
2 min read • Updated: April 18, 2024, 11:16 AM
Summary
Vodafone Idea FPO raised ₹5,400 crore from anchor investors on Tuesday, April 16. The total fund raising through anchor allocation included ₹1,347-crore investment from the US-based GQG Partners.
Vodafone Idea Ltd (VIL) shares rallied more than 4% on Thursday, April 18, as its follow-on public offer (FPO) opened for public investors after a strong response from anchor investors in the pre-FPO round.
The ₹18,000-crore Vodafone Idea FPO, which is the largest follow-on offer in India, opened for subscription on April 18.
Shares of India’s third largest telecom services provider spurted by 4.24% to hit a high of ₹13.5 per share on the NSE. More than 29 crore shares of the company changed hands on stock exchanges. VIL shares are trading 3.09% higher at ₹13.35 on the NSE at 11.10 am.
Vodafone Idea FPO received strong response in anchor round
Vodafone Idea Ltd received a strong response from anchor investors in the pre-FPO round on Tuesday with foreign and domestic investors led by US-based GQG Partners. The company mobilised nearly ₹5,400 crore from anchor investors.
GQG Partners, Motilal Oswal, Fidelity Securities, Abu Dhabi Investment Authority, UBS Fund Management, Troo Capital Ltd Morgan Stanley, Citigroup Global Markets Mauritius and Jupiter Fund Management are among the anchor investors that received shares in the anchor round.
Vodafone Idea allotted 490 crore (4,90,90,90,908) equity shares to 74 fund schemes at a price of ₹11 per share, mobilising ₹5,399.99 crore.
The US-based GQG Partners put in around ₹1,347 crore in VIL in the anchor round through its fund schemes. It cornered more than 22% of the anchor issue.
Vodafone Idea FPO opens for subscription
The ₹18,000-crore Vodafone Idea FPO opened for bidding for public investors on Thursday. The FPO, which is the biggest in the country, will close on April 22. The telco has fixed the band at ₹10-11 per share, which is around 17% discount to the current trading price at the cap price.
The FPO comprises a fresh issue of 1,636.36 crore equity shares. The lot size is 1,298 shares. The minimum investment will be ₹14,278 for retail investors.
The Aditya Birla Group company has set aside 50% of the FPO size for qualified institutional buyers, 15% for non-institutional investors, and the remaining 35% for retail investors.
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