Man Infraconstruction IPO subscribed more than 60 times

FIIs put in bids for 1.94 crore shares

The initial public offer (IPO) of Man Infraconstruction received strong investor response as the IPO was bid a staggering 60.44 times by 16:00 IST on the last of the bidding for the IPO today, 22 February 2010. The IPO got bids for 28.12 crore shares compared with 46.53 lakh shares on offer.

Category-wise data shows that foreign funds had put in bids for 1.94 crore shares by Friday, 19 February 2010 compared with 22.68 lakh shares reserved for the qualified institutional buyers (QIB) category as a whole. Mutual funds put bid for 69.18 lakh shares. But there was not a single bid from domestic financial institutional (excluding mutual funds).

Just before the opening of the IPO on 18 February 2010, the company received commitments of Rs 24.50 crore from anchor investors, who subscribed for 9.72 lakh equity shares at Rs 252 per equity share, at higher end of the price band of Rs 243-252. The anchor investors include Nomura Asset Management Singapore, Reliance Mutual Fund, Legg Mason Asian Enterprise Trust, Monsoon India Inflection Fund, Axis Mutual Fund and India Diversified (Mauritius).

Promoted by Parag Shah and Mansi Shah, Man Infrastructure provides construction services for the port sector, residential and commercial real estate and roads. Over the years, real estate sector projects have become the major contributor to the consolidated revenue of the company.