Samvardhana IPO subscribed 3% on Day 1

The initial public offer (IPO) of auto parts maker Samvardhana Motherson Finance Ltd (SMFL) got subscribed 3 per cent on the first day on Wednesday.

The IPO, which closes on May 4, attracted bids for over 38.71 lakh shares against 12.76 crore shares on offer, as per data available on the National Stock Exchange till 17:00 hrs.

SMFL has set a price band of Rs 113-118 for the IPO, through which the company aims to mop up as much as Rs 1,665 crore.

The company has already raised Rs 222 crore through allotment of shares to four anchor investors, including the Government of Singapore.

It has issued over 1.93 crore equity shares to anchor investors at a price of Rs 115 per share, raising Rs 222.03 crore in the process.

SMFL's initial share sale would be the largest private sector offer after JSW Energy mopped up about Rs 2,700 crore through IPO in December 2009, according to market sources.

This would also be the first IPO that aims to raise over Rs 1,500 crore so far in 2012.

Standard Chartered Securities India Ltd and J P Morgan India are the book running lead managers to the issue.