Manganese Ore India Ltd : MOIL IPO Allotment

Public awareness on the benefits of investing in Initial Public Offer is on the rise. Unlike the earlier IPO boom in 1991, now investors are very choosy and are investing in good quality IPO's only. And many of them prefer Government owned companies like Coal india, Manganese Ore India Ltd etc.

In the previous IPO : Coal India, a Govt of India enterprise, the total oversubscription was 20 times the issue size. And the retail portion was oversubscribed by 2.31 times. That itself was hailed as a very big achievement.
(Click here to see the IPO oversubscription status of Coal India Ltd : http://easyinv.blogspot.com.....coal-india)

But the current IPO status of MOIL is mind boggling. The issue got oversubscribed by 56.43 times. Among them Institutional investors oversubscribed by 49 times and High value investors segment got oversubscribed by 143 times. The retail subscription limit which got hiked to 2 lakhs per individual, got oversubscribed by 32.86 times.

Technically in the retail side, one out of 32 applications should get allotment or an investor would get partial allotment like 1/32 of his susbcribed shares.

Usually such heavy oversubscription would end up with lots of non-allotment or very low allotment. Investors need not lose heart. It is their participation that makes an issue succesful. And a healthy primary market is a sign of healthy secondary market. Keep investing in good companies which are debt-free for better future.

Hat's off to such a numbers in IPO front.