NBCC's up to $25 mn IPO subscribed nearly 5 times

An up to $25 million initial public offering by state-run National Buildings Construction Corporation was subscribed nearly five times the shares on offer at the close of the issue today, the stock exchange data showed.

An up to $25 million initial public offering by India's state-run National Buildings Construction Corporation (NBCC) was subscribed nearly five times the shares on offer at the close of the issue on Tuesday, the stock exchange data showed.

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The government was selling a 10% stake in NBCC, a consultant for civil construction and real estate projects, in the offer as part of its divestment programme to help patch its fiscal deficit.

The issue had a price band of 90-106 rupees for 12 million shares on offer. Enam and IDBI Capital are the merchant bankers to the issue.

The share sale was the government's first since a $2.6 billion auction in Oil and Natural Gas Corp this month failed to attract enough investors, forcing state-run Life Insurance Corp to pick up most of the 5% stake on offer.