Indian state-run Shipping Corp of India's follow-on share sale of up to $259 million was subscribed nearly 5 times, the final day of the offer, marking the latest in a series of successful offerings by the federal government this fiscal year.

The firm, which is selling 84.69 million shares, received bids for 416.45 million shares, data from the exchanges showed.

The follow on issue, with a price band of 135 to 140 rupees a share, opened on Nov. 30 and closed on Thursday for qualified institutional buyers. It closed on Friday for all other bidders.

Retail individual investors have applied for nearly 7 times the shares reserved for them. Institutional investors bid for 4.2 times the shares reserved for them.

The government is selling a 10 percent stake in the shipping services firm and the company is issuing another 10 percent of fresh equity.

Shipping Corp plans to use the proceeds from the share sale to fund acquisition of nine vessels, of which it will place orders for two very large crude carriers and three containers soon. (Reuters)