ICICI Bank's $500 million American depository shares issue has been subscribed six times the issue size.
The issue closes on December 7 concurrently with the Rs 5,750 crore (rs 57.50 billion) public issue of equity shares in the domestic market. The domestic issue has received subscriptions for 1.86 times the 9.90 crore (99 million) shares on offer.
The bank also witnessed robust demand for its ADS in Japan, where it is offering the shares as public offer without listing, said sources.
The ADS is likely to be priced in line with the price band of Rs 505 to Rs 545 for the domestic issue. ICICI Bank is struggling to sell the domestic issue with retail subscriptions accounting for just a little over 12 per cent of the shares reserved in this category.
ICICI Bank has reserved 38 per cent of the total issue for retail investors, including 5 per cent for existing individual retail shareholders.
The domestic issue has received a good response from qualified institutional bidders with 2.82 times subscriptions received for the shares reserved for them. Up to 50 per cent of the issue
was reserved for QIBs.
The portion reserved for non-institutional high net worth investors is also still to get full subscription. Applications have been received for only 63 per cent the portion reserved for non-institutional high net worth investors.
ICICI Bank is raising money to meet its capital requirements given its asset growth as the economy expands.
ICICI Bank has the largest retail asset portfolio among Indian banks and finance companies, as it clocked a growth of 73 per cent at Rs 68,537 crore (Rs 685.37 billion) in the quarter ended September 30, 2005.
ICICI Bank had, in April 2004, raised Rs 3,050 crore (Rs 30.50 billion) through a public issue of shares. In March this year, ICICI Bank completed a sponsored ADS issue at $21.11 a share, raising foreign holding to 73.05 per cent.
Life Insurance Corporation of India holds a 9.75 per cent in ICICI Bank, New India Assurance Company (2.37 per cent) General Insurance Corporation (1.31 per cent) National Insurance Company (1.08 per cent),
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