MCX IPO receives huge response on first day

Posted By: Religare
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MCX IPO receives huge response on first day
Multi Commodity Exchange of India: Quotes, News
BSE 1010.55BSE Quote30.45 (3.01%)
NSE 1009.85NSE Quote27.25 (2.70%)
The IPO of Multi Commodity Exchange of India Limited (MCX) received huge response from investors on first day, as Initial offer received bids for 4987794 shares against 5500772 issued shares.

Further, the MCX IPO is the first IPO ever offered by an exchange in country. Due to robust demand, MCX IPO was subscribed 0.91 times on first day, according to NSE website.

The Objects of the issue are to achieve the benefits of listing on the BSE. The company stated in a prospectus filed to SEBI that the listing of the Equity Shares will enhance the brand name and provide liquidity to the existing shareholders.

Listing will also provide a public market for the Equity Shares in India.

Further, MCX also reported the company will not receive any proceeds from the Offer.

The company is the leading commodities exchange in India based on value of commodity futures contracts traded. According to data maintained by the FMC, the total value of commodity futures contract traded on the exchange in 2011, 2010 and 2009 was Rs 98,415.03 billion, Rs 63,933.03 billion and Rs 5,880.95 billion respectively.

MCX has more than 80 per cent share in Indian commodity futures industry in terms of the value of commodity futures contracts traded.

Dion Global Solutions Ltd

Read more about: mcx, ipo, shares
Story first published: Wednesday, February 22, 2012, 23:32 [IST]
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