The offer for sale (OFS) for Reliance Nippon Life Asset Management (RNAM) got bids 24 per cent retail bids while that of SBI Life received 15 per cent institutional bids by 1.30 pm on Thursday.
Offer for sale is a two-day affair where non-retail investors can bid for shares on Day 1 while retail investors can apply for shares on Day 2.
RNAM saw institutional investors bids 1.3 times the institutional quota on Day 1 on Wednesday. On Day 2, against the base issue size of 19,30,502 shares, it received bids for 4,55,396 shares by retail investors by 1.30 pm on Thursday.
Though the floor price for RNAM was fixed at Rs 262 per share, average bids from institutional investors had come in at Rs 266.74.
The stock trades at 35 times its trailing 12-month earnings as against HDFC Asset Management’s Price to Earnings ratio of 56 times.
In the other share sale, SBI Life’s institutional quota was subscribed 15 per cent at 47,53,576 shares against the base size of 3,15,00,000 shares.
Analysts said the fair value of the stock is about Rs 900-910 per share.
