Mumbai: Volatile market claimed its first victim in the stock market on Thursday when Wockhardt Hospitals Ltd quietly withdrew its Initial Public Offering (IPO).
The issue was subscribed by a mere 18 percent on the last day of its closing on Thursday. The company plans to refund the entire IPO money within 15 days.
For listing on the bourses, 90 per cent of the issue must be subscribed. Wockhardt had attempted to salvage the issue by extending the subscription closing date from February 5 to 7.
The IPO of 25 million shares opened for subscription initially in the price band of Rs 280 to Rs 310.
Later, the company slashed the price band to Rs 225 to Rs 260 per equity share February 5. The revision was done in the light of current volatile market conditions.
Credit rating agency Crisil had accorded grade 4 to the IPO but still the issue failed to attract investors.
Meanwhile, the big IPO of Emaar MGF got subscribed over 83 per cent on the fifth day of its issue on Thursday. The real estate developer had extended the bidding period till January 11, on Wednesday and also revised downward its price band amid a timid response from investors.
The IPO has been subscribed only 83.43 per cent of the shares on offer receiving bids for 8.55 crore shares against the 10.25 crore shares on offer till its fourth day.
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