The government has decided to limit the size of Sri Lanka Telecoms initial public offering to 12 percent, despite a 14 percent oversubscription.
Issue managers DFCC Bank said Wednesday that the Treasury had decided to allocate shares in full to domestic retail investors, domestic non-state institutional investors and foreign investors. rn
rnApplications from state institutional investors would only be satisfied after allocations to all the other investors. rn
rn”The principal objective underlying the above basis of allocation is the governments desire to enlarge the domestic investor pool, broaden share ownership and encourage foreign investment,” DFCC said. rn
rnOn Monday SLT said that public offering had attracted Rs. 3.7 bn in subscriptions, subject to the realization of checks and excluding applications received in the mail.rn
rnThe government had an option of issuing a further 270.8 mn shares or going up to 15 percent in the event of an oversubscription.rn
rnSLTs shares are expected to t