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Strategies & Market Trends : India Coffee House -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (7138)	9/24/1999 2:02:00 AM
From: Mohan Marette	Read Replies (1) \| Respond to of 12475

ICICI's ADR (ICD-Nyse) issue oversubscribed by 500%, lists at 12% premium Source : MI Sep 23, 1999, 8:05:07 AM Riding on India's recovery story, ICICI on Wednesday priced its American depository receipts at $9.8 per ADR or at a 6.5 per-cent premium to the five-day average closing price of the ICICI scrip on the domestic market. The issue also attracted a final demand book of $1.6 billion an oversubscription of around 500 per cent. The ADRs, which are the first by any Indian or non-Japanese Asian entity to list on the New York Stock Exchange, opened at a hefty premium to offer price at $11-11.25 per ADR amid heavy secondary market demand. It, however, settled down to $10.5-11 levels later, said investment bankers. One ADR represents five underlying shares of ICICI. The news of the ADR success also resulted in the ICICI scrips hitting the 8-per cent circuit breaker at Rs 86.35 on the BSE. ICICI Ltd on Wednesday created history by becoming the first Indian and non-Japanese Asian company to list on the NYSE. ICICI chief K V Kamath also made history on NYSE by becoming the first Indian CEO to ring the bell to commence trading on the NYSE. Notably, Columbia Recording artists Mariah Carey rang the opening bell. The bell ringing is preceded by a customary listing breakfast which was chaired by ICICI chairman N Vaghul. Talking to The Economic Times from New York, Mr Kamath said: "We believe that ICICI's success is an affirmation of investors' faith in the Indian economy. The success of the deal strongly signals investor confidence in ICICI's strategic transformation to a virtual universal bank." The issue, which was managed by Morgan Stanley Dean Witter & Co and Merrill Lynch &Co, attracted 75 per cent of its demand from Asia and the USA, with around $300 million coming in from retail investors alone.