State Bank of India (SBI) could turn a modest investment in the National Stock Exchange (NSE) into one of the most lucrative profit booking in India’s IPO market, with the lender offering shares acquired at a weighted-average cost of just 80 paise apiece at a price of as much as ₹1,785. SBI is offering up to 15,969,410 NSE shares in the IPO. At the upper end of the price band, the sale could fetch the lender approximately ₹2,850 crore, leading to an eye-popping return of 223,025%.
The IPO has a price band of ₹1,700 to ₹1,785 per share and an offer size of ₹22,562 crore. The issue is entirely an offer for sale, meaning the proceeds will accrue to the selling shareholders, rather than to NSE.
