India's biggest share offer by Reliance Power was more than 47 times oversubscribed, data showed Friday, the last day investors could apply for a slice of the near three-billion-dollar flotation. Reliance Power, owned by Indian tycoon Anil Ambani, has offered 260 million shares, or 10.1 percent of its capital, amid forecasts that the energy demands of India's fast-growing economy could create a booming business.
"The demand from retail investors continues unabated," a merchant banker close to the deal said on condition of anonymity.
The initial public offer, which shuts at 1130 GMT Friday, was fully subscribed just 60 seconds after it opened Tuesday.
Data from the National Stock Exchange showed the share offer was oversubscribed by 47.2 times on Friday ahead of the deadline.
The company aims to raise between 105 billion and 115 billion rupees (2.6 to 2.9 billion dollars). The shares are priced at 405 rupees to 450 rupees, with retail investors to be given a discount.
The firm is a unit of Reliance Energy, which has said the money raised will fund the development of power projects.
Reliance Power is developing 13 medium and large power projects with a combined planned capacity of 28,200 megawatts.
Source : afp.google.com
