Tamilnad Mercantile Bank IPO subscribed 0.8x on first day of issue

Tamilnad Mercantile Bank’s (TMB’s) initial public offering (IPO) was subscribed nearly 0.8x on Monday — the first day of the issue.

Most bids have come from retail and institutional investors.

On Friday, the lender had allotted Rs 363 crore worth of shares to anchor investors at Rs 510 apiece. The price band for the IPO is Rs 500-525 per share.

TMB is looking to issue 15.84 million fresh shares in the IPO. At the upper end of the price band, the bank will raise Rs 832 crore and will be valued at Rs 8,314 crore.

TMB plans to utilise the IPO proceeds to augment its tier I capital base.