Future Ventures India Limited which had tapped the capital markets with its IPO finally managed to close the subscription today. The issue in a price band of Rs 10-11 was to raise Rs 750 crs and had opened on Monday the 25th of April. The issue for QIB’s closed on Wednesday 27th of April and remained undersubscribed. Today the issue closed for non QIB bidders and the retail subscribers decided to stay away from the issue. The retail portion remained undersubscribed. The issue was bailed out by the HNI category which was subscribed 7.81 times.
The details of the subscription level in various categories are given below: –
| Category | Shares Offered | Shares Subscribed | Times |
| QIB | 375000000 | 97401600 | 0.26 |
| NII | 112500000 | 878828400 | 7.81 |
| Retail | 262500000 | 161128200 | 0.61 |
| Overall | 750000000 | 1137653400 | 1.52 |
The issue has managed to get subscribed but failed to garner adequate support from two of the three segments namely QIB’s and retail. This clearly shows that there was concern from investors and they did not subscribe. The HNI category was forced to subscribe and see that the shortfall of the remaining two categories was made up by this category. It would be interesting to note that when allotment is made these heroes or white knights identity would become public and one would know how and why this group of people became bullish.
In conclusion, the stand taken by this writer to avoid the issue stands vindicated.
