New Delhi, June 19: The government is likely to announce the price and allocation of Maruti shares to retail investors and institutional buyers on June 22, highly placed sources said here on Thursday. In view of the good response from retailers to the public offer, the government may also consider allocating them a higher quota as against a minimum of 25 per cent as stipulated in the Initial Public Offer (IPO).
Sources close to the IPO process disclosed that as much as 90,000 applications are believed to have been received from the retail investors and they have already crossed 25 per cent of the issue.
As per the allocation norms, there is a maximum ceiling of 60 per cent to institutions, while retail investors and high net worth individuals have to be given a minimum of 25 and 15 per cent respectively.
The Maruti issue has already been oversubscribed by more than five times and the government and the company would be finalising the formula for allocating shares among institutions, high net worth individuals and retail investors shortly, sources added.
Bureau Report