As per the data available on the National Stock Exchange (NSE) website till 5:00 pm on Jan 20, the Tata Steel FPO received bids worth 2.3 crore shares, against 4.8 crore equities on offer, which according to market men, is a great response, for any issue on the second day.

In the qualified institutional investors category, the offer was subscribed 0.67 times, while it got 0.20 times subscribed in the retail individual investors category.

However, some analysts feel that the FPO may not garner overwhelming response as the investors may find it worthwhile to wait for the Maharatna PSU SAIL's FPO which is round the corner.

With the FPO of Rs 5.7 crore shares, which includes Rs 83.25 lakh anchor investor shares, the company will garner Rs 3,477 crore at the higher end of the price band, while at the lower end of price band, it will raise Rs 3,385 crore.

Tata Steel intends to use the FPO proceeds to fund its ongoing expansion project in Jamshedpur as well as for repaying its debt.

PTI