Akash Ambani touches the sky with Jio Platforms as IPO gets 100% subscribed by 11am
Fully subscribed: Jio Platforms’ ₹30,213-crore initial public offering gets massive institutional investor demand as domestic financial institutions overbid
The ₹30,213-crore initial public offering of Jio Platforms achieved full subscription within 1.5 hours of opening, driven primarily by robust demand from Qualified Institutional Buyers and domestic financial institutions. While retail investor participation remained modest at about a quarter of their allocated quota, the overall issue was subscribed 1.18 times. Concurrently, Indian benchmark indices Sensex and Nifty rebounded strongly with gains of over one percent, fueled by advances in Reliance group companies and value buying in IT stocks, as market participants closely monitor global cues and corporate Q2 earnings.
The ₹30,213-crore initial public offering of Jio Platforms achieved full subscription within 1.5 hours of opening, driven primarily by robust demand from Qualified Institutional Buyers and domestic financial institutions. While retail investor participation remained modest at about a quarter of their allocated quota, the overall issue was subscribed 1.18 times. Concurrently, Indian benchmark indices Sensex and Nifty rebounded strongly with gains of over one percent, fueled by advances in Reliance group companies and value buying in IT stocks, as market participants closely monitor global cues and corporate Q2 earnings.
The ₹30,213-crore initial public offering of Jio Platforms achieved full subscription within 1.5 hours of opening, driven primarily by robust demand from Qualified Institutional Buyers and domestic financial institutions. While retail investor participation remained modest at about a quarter of their allocated quota, the overall issue was subscribed 1.18 times. Concurrently, Indian benchmark indices Sensex and Nifty rebounded strongly with gains of over one percent, fueled by advances in Reliance group companies and value buying in IT stocks, as market participants closely monitor global cues and corporate Q2 earnings.
The ₹30,213-crore initial public offering of Jio Platforms hit full subscription by 11am on Wednesday, October 21, barely 1.5 hours after the opening bell.
As per the latest data from the bourses, Jio Platforms was subscribed 1.18 times (23.3 crore shares) of the 19.75 crore shares on offer. Out of these, Qualified Institutional Buyers (QIBs) bid 3.77 times (18.5 crore shares) of the number of shares offered to them (4.9 crore shares). This pointed to ever-increasing demand from consolidated institutional investors.
Out of the QIB bids, only 5.5 crore were from FIIs, and 17.9 lakh were from mutual funds. A huge chunk of demand, i.e., 12.5 crore, came from domestic financial institutions.
On the Street, Retail Individual Investors (RIIs) bid for 2.3 crore shares versus the 8.5 crore on offer. That was just about a quarter of the shares on offer. All of this brought the overall bid close to 118 per cent subscription.
On the bourses, both Sensex and Nifty rallied by at least 1 per cent as Reliance group firms championed the rebound from Monday's sharp losses. Value buying in IT stocks also added to the mix.
The Sensex gained more than 830 points to as high as 74,682.19, while the Nifty appreciated by more than 220 points to a 23,120.90 morning peak.
With the Jio Platforms IPO weighing on investor sentiment, the direction of the market in intraday trade will also depend on global cues as well as Q2 earnings, according to experts.