How was the anchor allotment picture for MapmyIndia ahead of its IPO?

Anchor placement ahead of an IPO differs from a pre-IPO placement two reasons. Firstly, the anchor allocation has a lock-in period of only one month. Secondly, the anchor investor is not allowed to be given shares at a discount. These anchor investors have to accept the final discovered price under the book building and pay the difference if final price is higher. Let us now turn to the details of the anchor placement of MapmyIndia.

The bidding and allocation was opened and completed on 08-June itself. A total of 30.19 lakh shares were allotted to 34 anchor investors. The allocation was done at the upper IPO price band of Rs.1,033. That implied an anchor allotment of Rs.311.88 crore, or nearly 30% of the issue size. There were a total of 13 anchor investors who were allotted more than 3.5% of the anchor allocation each in the IPO and they accounted for 67.83% of anchor.

MapmyIndia got good response from foreign portfolio investors and domestic mutual funds. Global investors included established names like Fidelity, Nomura, Goldman Sachs, Morgan Stanley, University of Notre Dame, and Volrado Investments. Major domestic investors in the anchor portion included SBI MF, ICICI Pru MF, Nippon India MF, Tata MF, Sundaram MF, IDFC Fund etc. Nearly one-third of the anchor portion was allocated to local mutual funds.