SBI life insurance IPO sees good demand, fetches 57% subscribers in two days

Mumbai : Demand for State Bank of India Life Insurance company's IPO picked up on the second day of its offering. By 1700 hrs the total number of subscribers went up to 57 percent.

The total size of the issue stands at 8,82,00,000 shares. It received total bids for 5,06,87,910 shares, while the total bids received at cut-off price stood at 1,32,96,171 shares.

The Rs 8,400 crore Initial Public Offering by private insurer SBI Life Insurance Co Ltd that opened on Wednesday is attracting good investor interest, a company spokesperson said.

In a statement, SBI Life Insurance said it has finalised the allocation of 3.18 crore equity shares at Rs 700 per share totalling Rs 2,226 crore to 69 anchor investors.

Post anchor investors investment, the balance available for subscription by other categories is Rs 6,174 crore.

The issue price band is Rs 685-700 per share of Rs 10 each. The issue comprises of offer for sale up to eight crore shares by joint venture parteners State Bank of India (SBI) and four crore by BNP Paribas Cardif S.A.

The retail investors interest is expected to pick up further in the next two days. Normally investors in Gujarat would apply on the closing day and due to rains in Mumbai, the retail investor investment had slightly dampened, said an official associated with the issue.

The issue closes on September 22.

(with IANS inputs)