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IPO News
Mar 17 2008 1:06PM
Gammon Infra IPO shares to be issued at 167 rupees each

MUMBAI, March 17 (Reuters) - Gammon Infrastructure Projects Ltd has priced its initial public offer at 167 rupees a share, at the lower end of the given price band, a company official said on Monday.

At this level, the company, will raise 2.76 billion rupees from the 16.55-million-share offer. The company will use the funds for investment in several projects, repaying debt and for acquisitions.

Gammon Infra is 82.5 percent owned by construction firm Gammon India <GAMM.BO>.

Its share offer, which closed on March 13, had been subscribed 3.48 times. Qualified institutional buyers subscribed five times their alloted quota, high net worth individuals 3.5 times, and retail investors one time.

A majority of the bids for the book-built offer had been received at the lower end of the 167-200 rupees price band.

"The listing on the stock exchanges is likely in the first week of April," company secretary Sathis Chandran said.

IDFC-SSKI Investment Banking and Macquarie Capital Advisers are the book-running lead managers to the issue.

(Reporting by Prashant Mehra; Editing by Sunil Nair) (([email protected]; +91 22 6636 9029; Reuters Messaging: [email protected])) Keywords: GAMMON PRICING/

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