The biggest order put in came on Friday night and stood at 1.8 million shares or RON100 million. The results of the IPO on the institutional investor segment where 18.5 million shares had been made available had not been published by 7:20 p.m. on Wednesday night.
BRD, one of the three banks serving as underwriters, on Friday started issuing letters of guarantee to its premium clients to enable them to subscribe in the Digi IPO, followed by the rest of the banks in the syndicate and even other banks on the market, which drove subscription up. The unguaranteed retail tranche on Wednesday ended with almost 75 million shares subscribed out of the 2.7 million allocated. This means the segment was 27.48 times oversubscribed.
Analysts say Digi set an oversubscription record for the Romanian stock market. “One must bear in mind that the subscription using leverage was likely higher than in other IPOs in the past,” says Ronnie Khreis, analyst with investment manager Intercapital.
(English version by Loredana Fratila-Cristescu)