BSE raises Rs 373 crore from anchor investors

Leading stock exchange BSE today raised Rs 373 crore by allotting shares to anchor investors ahead of its much-awaited initial public offer opening on January 23. The exchange has allotted shares to anchor investors at the price of Rs 806 apiece, the higher end of its IPO price band of Rs 805-806. Among the anchor investors are Goldman Sachs Asset Management, ICICI Prudential Mutual Fund, Kotak Mutual Fund, Citigroup, IDFC Mutual Fund, DSP Blackrock, Capital World, Reliance Capital Trustee Company and Kuwait Investment Authority Fund, according to a release. The stock exchange aims to raise up to Rs 1,243 crore from its IPO, which is priced at Rs 805-806 per share. The IPO opens on January 23 and closes on January 25, which will be the first by a domestic stock exchange. During the initial share sale — this year’s first as well — shareholders will sell 15.43 million shares estimated to be around Rs 1,243.44 crore at the higher end of the price band. The IPO of 15,427,197 shares of face value of Rs 2 each will constitute up to 28.26 per cent of the fully-diluted post offer issued share capital of BSE. Bids for the issue can be made for a minimum of 18 shares and in multiples of 18 thereafter. Among the existing shareholders are Bajaj Holdings Investment, Caldwell India Holdings, Acacia Banyan Partners, Singapore Exchange, Mauritius-based arm of American investor George Soros’ Quantum Fund and foreign fund Atticus. There are an estimated 9,000 shareholders in BSE, where originally mostly brokers held shares. However, a host of foreign investors and domestic financial institutions have acquired shares over the years and the IPO will provide some of them an exit window to monetise their investments. BSE shares will be listed on NSE as Sebi rules do not allow self-listing for an exchange. Capital market regulator Sebi had given its final go- ahead to the draft prospectus for the IPO on December 30. Meanwhile, rival NSE had filed draft papers with Sebi last month for an estimated Rs 10,000 crore IPO. The issue is being managed by Edelweiss Financial Services, Axis Capital, Jefferies India, Nomura Financial Advisory and Securities (India) Pvt, Motilal Oswal Investment Advisors, SBI Capital Markets and SMC Capitals. Multi Commodity Exchange of India is the only listed bourse in the country.