HDIL subscribed 0.26 times on day one

MUMBAI: The 3-crore initial public offering by the Housing Development and Infrastructure Limited was subscribed 0.26 times on the first day of the offer.

The issue received bids for 76.91 lakh shares against total issue size of 2.97 crore shares. Qualified institutional investors bid for 65.81 lakh shares, subscribing 0.37 times, while the non-institutional investors subscribed their portion 0.32 times by bidding for 9.33 lakh shares. Retail investors bid for 1.7 lakh shares.

The Mumbai-based company has priced its Rs 10 shares between Rs 430 and Rs 500. The offer closes on Tuesday.

HDIL is in the business of real estate development including residential, commercial and retail projects, slum rehabilitation and land development. The company intends to acquire further land and land development rights in order to facilitate its expansion and diversification from the issue proceeds.

The company is also constructing and developing residential, commercial and retail projects in Palghar, on the outskirts of Mumbai, and Hyderabad and Kochi.