Reliance Power Ltd., which sold out its record Indian initial share sale in less than a minute, attracted orders for 72.4 times the stock on offer on the final day, signaling it may raise the maximum $3 billion sought.
Investors ordered shares worth as much as $189 billion, equivalent to the combined market value of the Portuguese and Czech stock markets, according to data on Bloomberg.
``It is clearly a record, no question about it,'' Chakri Lokapriya, who is trying to add Reliance Power to the $575 million of Indian stocks he manages at BNP Asset Management in London, said. ``There's a clear recognition that infrastructure, especially power, is a key area to invest in and that investors have faith in the company.''
The sale will increase the wealth of billionaire chairman Anil Ambani, already India's third-richest man after his Reliance Energy Ltd. quadrupled in value last year. Ambani will use funds to build 13 plants with 28,200 megawatts of generating capacity over five years, a third of India's planned new projects.
Reliance Power, 50 percent owned by Reliance Energy, India's second-largest electricity producer by value, received orders for 16.513 billion shares at 5 p.m. close, according to the National Stock Exchange's Web site.
Power Shortage
The Mumbai-based company is seeking as much as 117 billion rupees ($3 billion). Reliance Power sold 260 million shares at 405 rupees to 450 rupees apiece.
India plans to add 78,577 megawatts of capacity in the five years to March 2012 to help bridge a 13 percent shortfall in peak demand, the government has said. About 400 million Indians do not have access to electricity, according to the United Nations' Human Development Report of 2007.
ABN Amro Rothschild, Deutsche Bank AG, Enam Securities Pvt., ICICI Securities Ltd., JM Financial Consultants Pvt., JPMorgan Chase & Co., Kotak Mahindra Capital Co. and UBS AG are arranging the IPO.
Anil Ambani's wealth more than tripled last year to $45 billion, according to Forbes magazine, behind his brother Mukesh Ambani, chairman of Reliance Industries Ltd., and Lakshmi Mittal, chief executive officer of ArcelorMittal.
Investors ordered shares worth as much as $189 billion, equivalent to the combined market value of the Portuguese and Czech stock markets, according to data on Bloomberg.
``It is clearly a record, no question about it,'' Chakri Lokapriya, who is trying to add Reliance Power to the $575 million of Indian stocks he manages at BNP Asset Management in London, said. ``There's a clear recognition that infrastructure, especially power, is a key area to invest in and that investors have faith in the company.''
The sale will increase the wealth of billionaire chairman Anil Ambani, already India's third-richest man after his Reliance Energy Ltd. quadrupled in value last year. Ambani will use funds to build 13 plants with 28,200 megawatts of generating capacity over five years, a third of India's planned new projects.
Reliance Power, 50 percent owned by Reliance Energy, India's second-largest electricity producer by value, received orders for 16.513 billion shares at 5 p.m. close, according to the National Stock Exchange's Web site.
Power Shortage
The Mumbai-based company is seeking as much as 117 billion rupees ($3 billion). Reliance Power sold 260 million shares at 405 rupees to 450 rupees apiece.
India plans to add 78,577 megawatts of capacity in the five years to March 2012 to help bridge a 13 percent shortfall in peak demand, the government has said. About 400 million Indians do not have access to electricity, according to the United Nations' Human Development Report of 2007.
ABN Amro Rothschild, Deutsche Bank AG, Enam Securities Pvt., ICICI Securities Ltd., JM Financial Consultants Pvt., JPMorgan Chase & Co., Kotak Mahindra Capital Co. and UBS AG are arranging the IPO.
Anil Ambani's wealth more than tripled last year to $45 billion, according to Forbes magazine, behind his brother Mukesh Ambani, chairman of Reliance Industries Ltd., and Lakshmi Mittal, chief executive officer of ArcelorMittal.
