SBI Cards IPO Receives 38% Subscription On Day 1

On the first day of bidding, the initial public offering (IPO) of SBI Cards and Payment Services (SBI Cards) was subscribed by 38 percent till 5 pm. The public issue received bids for around 3.85 crore against its IPO offer size of 10.02 crore shares as per data on the stock exchanges.

SBI Cards IPO will be open for retail investors till 5 March 2020. The price band is set at Rs 750-755 per share with a minimum investment of 19 shares (lot size) which comes to Rs 14,345 on the upper end of the price band.

If the IPO sails through, shares of the credit card issuing subsidiary of SBI Cards will be listed on BSE and NSE.

Last week, SBI Cards raised Rs 2,769 crore from 74 anchor investors ahead of the IPO. Singapore government, Monetary Authority of Singapore, Fidelity, Nomura, BNP Paribas, GMO, Blackrock and Kuwait government, were among the anchor investors, who were allotted a total of 3.67 crore shares at the IPO's upper price band of Rs 755 apiece.

Also Read: SBI Cards IPO Opens On 2 March: Should You Invest?

Within the retail investors' category, there are reservations for existing shareholders of SBI and full-time employees. Those who have shares of SBI in their existing portfolio as on 18 February 2020 are eligible to apply for the IPO under the category reserved for shareholders.

Being the fifth biggest of the IPOs ever in India, it will be open for four days for subscription instead of three. The last day of issue will be exclusively for retail investors.