MUMBAI: Agra-based multi-system operator (MSO) Sea TV Network’s Rs 502 million initial public offering (IPO) has been oversubscribed 9.39 times on the closing day.

The qualified institutional investors reserved portion got subscribed 1.66 times, while non institutional segment got subscribed by 40.94 times and retail segment by 7.45 times.

The company received bids for 52.39 million shares, as compared to 5.58 million shares on offer. The IPO price band was set at Rs 90- Rs 100 per share.
  
The total fund requirement of Sea TV, including meeting the expenses of the IPO issue, is Rs 596.5 million. It also requires Rs 155.5 million for setting up 20 branch-offices in Agra and adjoining areas with required infrastructure for receiving digital signals and re-transmitting the same through co-axial cables to individual subscribers.  
 
The company intends to invest Rs 275 million out of the issue proceeds in setting up a complete digital head-end. It also plans to pump in Rs 52.8 million for setting up network for IPTV solution and Rs 65.6 million for laying underground optical fibre capable of digital transmission throughout Agra city and adjoining areas.

Besides the proposed IPO, Sea TV Network will also raise term loans and fund from internal accruals.