The FPO for 5.7 cr shares from Tata Steel was subscribed and received excellent response from QIB’s and HNI’s. The retail portion was oversubscribed 1.6 times which is creditable. The employee portion was undersubscribed and received bids for a mere 6% of their reserved portion. In the next week or so we would know whether the employees have missed out on an opportunity or knew more than the market. The stock price of Tata Steel was weak today and lost Rs 5.35 or 1.01% to close at Rs 529.60. The issue being well subscribed would be priced at the upper band of Rs 610 which means the comfort factor for retail investors is Rs 19.60 or 3.11%. It’s a close call and the next week will give all indications about the same.

The detailed subscription details of each category are given below.