High networth individuals and domestic funds from India are eyeing a slice of the much-touted mega IPO of Chinese e-commerce giant Alibaba, which looking to raise $21.1 billion.
HNIs and fund managers in India have sounded out homegrown brokers to place orders with foreign financial partners to enable transactions when the IPO opens which could be as soon as next week, senior executives at various investment banking and brokerage firms said.
With most big IPOs seeing a decent pop on debut, investors are keen on getting some shares of Alibaba even if at a higher end of the price band at $66 a share.
Indian investors can invest in Alibaba IPO via overseas trading accounts and some brokerages offer the facility to invest in various stocks that are traded on US exchanges, added market sources.
A strong rupee has emboldened the RBI to relax the individual overseas remittance limit of $75,000 per year which has been hiked to $125,000. These investments can include stocks.