Mumbai/New Delhi, Nov 27: The equity issue of State Bank of Bikaner and Jaipur (SBB&J) has been oversubscribed by 1.5 times. Sources associated with the issue said the first issue from the SBI associate stable has raked in Rs 80 crore.

The issue which closed on Thursday was lead managed by Industrial Development Bank of India, ICICI Securities and DSP Merrill Lynch. SBI Capital was the advisor to the issue which opened for subscription on November 22.

Merchant banking sources said that the Rs 180-crore IndusInd Bank issue was fully subscribed on Thursday - the third day since the issue opened.

"All the money has come in today," a source working with one of the lead managers said. According to industry sources, the IndusInd issue has been already been oversubscribed 1.2 times.

SBB&J had made a public issue of 12,21,200 equity issues of face value of Rs 100 each for cash at a premium of Rs 440 per share. According to sources, till November 26, the bank received 52,000 applications for an aggregate amount of Rs 65 crore.

"The wholesale investors have yet to put in the money which is likely to take the figure to Rs 75-80 crore," the source said.

The State Bank of India's stake in the bank will come down to 75 per cent following the issue.

Next in line is State Bank of Travancore's Rs 90-crore issue. The issue, which is priced at Rs 600, will open for subscription on December 8.

According to the managing director of the SBB&J, KR Maheshwari, the issue received good response. Priced at Rs 540 a share, the success of the issue in terms of retail response was in doubt.

Merchant bankers were sceptical of the response as the issue coincided with a bearish trend in the stock markets. Besides, a sharp fall in the share prices of leading bank scrips including SBI, Bank of Baroda and Bank of India has led other banks to aggressively market their issues.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.