IBP offer gets 75 subscription

Shourie8217;s statement on Wednesday that the government had 8220;identified people responsible for pulling down stock prices8221; and it would 8220;probe into the poor response to the public issues of various public sector units8221; galvanised financial advisors to the issues into action and investors started applying for the shares.

8220;Our actions had a salutary effect,8221; Disinvestment Minister Arun Shourie 8212; who had on Wednesday fixed responsibility for the success of the public offers on financial advisors 8212; told reporters after a series of meetings with top officials in New Delhi.

Bids for as much as 75 per cent of the 57.58 lakh IBP shares put on the block were received till the evening of the fourth day of the response as against less than one per cent bids during the first three days. The poor response to the PSU offers followed a 516-point fall in Sensex in the last eight sessions.

The response to the offers of IPCL and CMC shares was also enthusiastic. Cumulative bids for IPCL stood at 18.35 crore shares and 4.16 crore shares for the Tata group-owned software company as against the issue size of 7.18 crore shares oversubscribed by 2.55 times and 39.76 lakh shares 10 times oversubscribed respectively. Disinvestment Secretary said 8220;we are absolutely confident about the success of these issues.8221;

Meanwhile, bids totalling 26 per cent of 20 per cent per cent government equity put up for sale in Dredging Corporation were received on the opening day of the offer.