The IPO of Motilal Oswal Financial Services was subscribed 27.41 times. The issue closed on Thursday, 23 August 2007. The IPO received bids for 8.17 crore shares compared to 29.82 lakh shares that were on offer.

Foreign institutional investors made a beeline for the IPO. The qualified institutional bidders (QIB) category was subscribed 43.9 times. The non-institutional segment comprising of high networth individuals and corporates, was subscribed 10.2 times whereas the retail portion was subscribed 4.4 times. The employees portion was subscribed 1.75 times.

The price band for the IPO was Rs 725 to Rs 825 per share. At the offer price band of Rs 725-Rs 825, PE works to 27.9 (on lower band) to 31.7 (on upper price band).

Motilal Oswal Financial Services (MOFSL) is the Motilal Oswal group’s holding company with stake in four group companies: Motilal Oswal Securities (MOSL – the stock broking arm), Motilal Oswal Commodities Brokers (MOCB - the commodity business arm), Motilal Oswal Venture Capital Advisors Pvt Ltd (MOVC - the venture capital advisory arm) and the Motilal Oswal Investment Advisors Pvt Ltd (MOIAPL - the investment banking arm).

The object of the issue was to raise funds to enable the group to improve its competitive position and support growth plans through deployment of long-term working capital, enhanced financing facility for broking customers, and additional office space and technology advancement.

MOFSL’s consolidated net profit rose 15% to Rs 69.58 crore, on 39% growth in income from operations to Rs 358.75 crore in FY 2007 over FY 2006.