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Canara Bank to list shares this week
New Delhi, Dec 16: Canara Bank is expected to list its shares in major bourses on a positive note this week as the bank`s Rs 385 crore initial public offer was overscribed by 1.9 times.
New Delhi, Dec 16: Canara Bank is expected to list its shares in major bourses on a positive note this week as the bank's Rs 385 crore initial public offer was overscribed by 1.9 times.
"The IPO was overscribed by 1.9 times and the bank received applications worth 697 crore. We will list the shares in December third week," Canara Bank chairman R V Shastri told reporters here.
The bank received applications worth Rs 640 crore from public, who would be allotted shares worth 346 crore on a pro-rata basis.
Canara bank employees also applied for shares worth Rs 54 crore of which Rs 38.5 crore would be allotted.
Shastri said the bank will list its shares on NSE, BSE and Bangalore Stock Exchange.
Government holding in Canara Bank would come down to 73.17 per cent following the IPO priced at Rs 35 per share.
Canara Bank had returned 48 per cent of equity worth Rs 277.87 crore to government prior to the IPO issue.
The equity base of the bank, which shrunk to Rs 300 crore after return of equity to government, would go up to 685 crore after the IPO.
Shastri said the bank's capital adequacy ratio would go up to near about 12 per cent after IPO from 11.45 per cent.
Market sources said the bank's scrip is expected to receive good response from the investors as has been the case with Punjab National Bank, whose share prices almost doubled to about Rs 62 in seven-eight months.
Bureau Report
The bank received applications worth Rs 640 crore from public, who would be allotted shares worth 346 crore on a pro-rata basis.
Canara bank employees also applied for shares worth Rs 54 crore of which Rs 38.5 crore would be allotted.
Shastri said the bank will list its shares on NSE, BSE and Bangalore Stock Exchange.
Government holding in Canara Bank would come down to 73.17 per cent following the IPO priced at Rs 35 per share.
Canara Bank had returned 48 per cent of equity worth Rs 277.87 crore to government prior to the IPO issue.
The equity base of the bank, which shrunk to Rs 300 crore after return of equity to government, would go up to 685 crore after the IPO.
Shastri said the bank's capital adequacy ratio would go up to near about 12 per cent after IPO from 11.45 per cent.
Market sources said the bank's scrip is expected to receive good response from the investors as has been the case with Punjab National Bank, whose share prices almost doubled to about Rs 62 in seven-eight months.
Bureau Report