While it may be too early to take a view on the Yes Bank FPO, the response to the Rossari IPO was fantastic, to say the least. The Rossari Biotech IPO closed with overall subscription of more than 79 times. The HNI and the QIB portion got substantially oversubscribed with the HNI portion oversubscribed nearly 240 times and QIB portion over 90 times.

Rossari IPO was significant because it was the first major IPO since the SBI Cards IPO more than 4 months back. There were no IPOs during the lockdown period. Rossari’s exposure to the specialty chemicals business and a small exposure to animal vaccines, helped keep the sentiments to remain buoyant. The price is likely to be fixed at the upper band of Rs.425.

In the case of the Yes Bank FPO, it opened on 15 July and the issue got 22% subscription at the end of Day-1. Normally, FPOs get more of interest from QIBs, especially considering that Rs.4098 crore was already placed with anchor investors at Rs.12 per share. Yes Bank is in the market to raise Rs.15,000 crore to shore up its Tier-1 capital, by diluting its equity base.