NII part completely subscribed on the last day, with Vodafone Idea FPO booking 70% of the total

NII part completely subscribed on the last day, with Vodafone Idea FPO booking 70% of the total

Indebted Via the anchor book, Vodafone Idea has collected Rs 5,400 crore from institutional investors at the top price range of Rs 11.

When buyers chose to purchase 883.6 crore equity shares on the last day of bidding, April 22, Vodafone Idea's follow-on public offer (FPO) had received 70% of its subscriptions, according to subscription statistics from exchanges.

The biggest offering of its kind in the country, the Rs 18,000-crore FPO, saw the third-largest telecom operator in the nation issue 1,260 crore shares. This action is a component of a bigger plan to raise Rs 45,000 crore by using both loan and equity.

Leading the charge are non-institutional investors (NIIs), who have subscribed 1.37 times the amount allotted to them. Of the shares earmarked for their allocation, qualified institutional buyers (QIBs) acquired 94%. Retail investors have only picked up 28% of their allotment of shares, showing that they are still apprehensive about the FPO.

The financially stressed telecom behemoth used the anchor book to collect Rs 5,400 crore from institutional investors in the top Rs 11 price range. The promotion has a set price range of Rs 10–11 per item.

Among the anchor investors were Societe Generale, Carnelian Capital, Copthall Mauritius Investment, Citigroup, Goldman Sachs, Morgan Stanley, GQG Partners, Fidelity, UBS Fund Management, Redwheel Funds, HDFC Mutual Fund, Government Pension Fund Global, and UBS Fund Management.

The net issue proceeds, which Vodafone Idea will use to develop its network infrastructure by adding new 4G and 5G sites and increasing the capacity of its current 4G sites, total Rs 12,750 crore.

Vodafone Idea shares were down 3.5 percent from the previous close at 11:30 am, trading at Rs 12.5. In the last three months, the share price has decreased by 17%.