In its market debut today, ICICI Securities was listed at Rs 435 on the National Stock Exchange (NSE), which is at a 16.35% discount on its issue price of Rs 520. On the Bombay Stock Exchange (BSE), the listing was made at a 17.1% discount at Rs 431.10.
The price bandwidth for the initial public offering (IPO) was fixed between Rs 519-520. It was open for subscription from March 22 to 26.
India's largest brokerage firm, ICICI Securities got a poor response of only 78% subscription on the final day of its Rs 4,017 crore IPO. With the inclusion of anchor allotment, it received 87.9% bids.
Its QIB portion received full subscription. Both retail investors and non-institutional investors which constituted for 88% and 33% respectively were undersubscribed.
A total of 67,593,245 equity shares have been allotted at an offer price price of Rs 520 apiece, the upper end of the price band, aggregating to Rs 3,514.85 crore. Earlier, ICICI Securities had reduced the size of its IPO to a little over Rs 3,500 crore after the sale elicited a sluggish response, especially from high net worth individuals.
Rs 1,717 crores out of the Rs 3,500 (reduced IPO size) was raised from anchor investors.
ICICI Securities was incorporated in 1995 and offers financial services like brokerage, financial product distribution and investment banking to retail and institutional clients.
Their business is heavily dependent on brokerage from retail customers contributing to 90.5% in their total revenue in the financial year 2017. However, its non-brokerage income increased from 29.7% in 2013 to 36.4% in nine months of the financial year 2018.
ICICI's other arms include ICICI Lombard General Insurance Co. Ltd and ICICI Prudential Life Insurance Co. Ltd.
(inputs from PTI)