State Bank of India to Gain 50 Billion Rupees From NSE IPO Sale as Stake Returns 2,568-Fold
Updated
Updated · Bloomberg · Jun 18
State Bank of India to Gain 50 Billion Rupees From NSE IPO Sale as Stake Returns 2,568-Fold
3 articles · Updated · Bloomberg · Jun 18
Summary
24.75 million NSE shares sold in the planned IPO could bring State Bank of India about 50 billion rupees, or $529 million, based on a gray-market price of 2,055 rupees a share.
SBI bought the stake between 1993 and 1999 at an average cost of 80 paise apiece, implying an almost 2,568-fold return before counting gains on its remaining holding.
NSE’s IPO is also set to unlock outsized gains for other early backers including Morgan Stanley and Temasek, highlighting the exchange’s long-delayed value creation.
The exchange filed for what could be one of India’s largest IPOs earlier on Wednesday, putting the country’s equity-capital market back in focus.