(9 February 2010 11:45 pm)

MUMBAI: Hathway Cable & Datacom (Hathway), which hit the capital market today with an initial public offering (IPO), got off to a slow start.

The IPO was subscribed by just 0.46 times on its first day of offer, according to data available on the BSE. Most bids have come at the lower end of the price band, fixed in the region of Rs 240-265 by Hathway.

In all, the issue received bids for 10.42 million equity shares against 22.75 million offered for public.

Non-institutional investors subscribed 2.43 times the shares reserved for them, while institutional buyers subscribed for just 0.28 times.

On Monday, Hathway had lined up five anchor investors who put in Rs 1.2 billion for 18 per cent of the IPO (4.99 million shares) at Rs 240 a share.

Hathway's IPO closes on 11 February. The leading multi-system operator (MSO) has a public issue of up to 27.75 million, consisting of a fresh issue of up to 20 million equity shares (Rs 10 each) and an offer for sale of 7.75 million.

Hathway plans to raise Rs 7.35 billion at the upper and Rs 6.66 billion at the lower price band.

Also Read:

Hathway lines up 5 anchor investors for Rs 1.2 bn

Hathway sets IPO price band at Rs 240-265

Hathway likely to fix IPO price band at Rs 240-265