Power Grid Corporation FPO which closed for QIB’s yesterday was very well subscribed. The response received was excellent and a total of 776,51,60,520 were subscribed against an offer of 41,91,89,323 shares resulting in an oversubscription of 18.52 times.

Two things have happened helping this response. The success that Coal India garnered in the subscription and post listing the returns it has given to investors is certainly the first reason. The second is the business in which Power Grid is involved in creating transmission lines and the fact that the returns are regulated and based on a fixed return on investment.

Subscription for HNI’s, retail and employee categories will close today and these segments will also see substantial interest coming in. As of yesterday the subscription in these segments was 1.63, 0.72 and 0.37 times respectively. The total subscription was 9.72 times. I believe this should move up to between 12.7 to 13.5 times overall.