Edelweiss Capital IPO ends with 109.80 times subscription

Receives bids for 92.08 crore shares

Edelweiss Capital IPO ended with 109.80 times subscription. The IPO received bids for 92.08 crore shares, as against the issue size of 83.86 lakh shares.

The price-band of the issue has been fixed at Rs 725-825 per share.

At the lower end of the price band, Edelweiss will raise over Rs 607 crore and it will raise Rs 691 crore at the upper end of the price band.

Rating agency CRISIL has assigned an IPO grade of 4/5 to the company, indicating that the fundamentals of the issue are above average.

Edelweiss Capital provides investment banking, institutional equities, private client broking, asset management, wealth management, insurance broking and wholesale financing services to corporate, institutional and high net worth individual clients. It operates from 43 other offices in 19 Indian cities.

Edelweiss plans to utilise the proceeds for enhancement of margin maintenance with stock exchanges, establishment of additional offices and acquisition of office infrastructure, enhancement existing technology capacity and prepayment of loans.

The company’s total consolidated income in 2006-07 (April-March) was Rs 371.2 crore and net profit for the year stood at Rs 109 crore. For the five months ended August 2007, its consolidated total income stood at Rs 284.8 crore and net profit Rs 80.9 crore.

Kotak Mahindra Capital, Citigroup and Lehman Brothers were the book running lead managers to the issue.