BSE started a mock trading session for further funds offer of the “Bharat-22 exchange traded fund” which was started in November 2017.
Leading exchange BSE today began a mock trading session for further funds offer of the Bharat-22 exchange traded fund (ETF). The mock session would be conducted tomorrow as well.
In November last year, the government had launched Bharat-22 ETF comprising shares of 22 companies, including public sector undertakings (PSUs), public sector banks, ITC, Axis Bank and L&T. Now, it has launched the follow-on offer through which it is expected to raise up to Rs 8,400 crore.
In a notice, the BSE said the mock session is being conducted to familiarise the participants with the new segment on its web based platform — iBBS (internet based-book building software) — for subscription and bidding of further funds offer of the Bharat 22 ETF on BiMF module.
“The BiMF (BSE iBBS platform for mutual fund) module on iBBS platform can be accessed through internet and leased line,” the exchange said, adding that no separate registration is required to access it.
The exchange has also requested all the trading members to give their feedback of the mock session.
In a separate notice, BSE also said that the subscription for further funds offer (FFO) of the Bharat 22 ETF will commence from June 20 and remain open till June 22 on BiMF module on iBBS platform.
The issue would open for the anchor investors tomorrow and would be available for other institutional and retail investors from Wednesday.
The investors would get a 2.5 per cent discount over the issue price.
A finance ministry official had said last week that the government is aiming at mopping up Rs 6,000 crore, with a green-shoe option to retain another Rs 2,400 crore from the Bharat-22 ETF follow on offer to be launched on June 19.
This offer would also help the government in meeting the minimum public holding norm in PSUs like Coal India.
The state-owned companies or PSUs that are part of the new Bharat ETF-22 include ONGC, IOC, SBI, BPCL, Coal India and Nalco.
The other central public sector enterprises on the list are Bharat Electronics, Engineers India, NBCC, NTPC, NHPC, SJVNL, GAIL, PGCIL and NLC India. Only three public sector banks — SBI, Indian Bank and Bank of Baroda — figure in the Bharat-22 index.
