Shares of Udayshivakumar Infra Ltd listed on the bourses at a discount on Monday.
On the NSE, the stock was listed at ₹30 per share, 14.3 percent lower than the issue price, and on the BSE, the stock was listed at ₹35 per share, same as the issue price.
The stock hit a high of ₹35, and a low of ₹33.25, on the BSE.
On Day 4 of subscription, the issue continued to see overwhelming response from non-institutional investors (NIIs) who subscribed to it 60.42 times followed by qualified institutional buyers (QIBs) who subscribed to the issue 40.47 times. Retail investors' portion was subscribed 14.10 times. The issue was subscribed 30.63 times.
The company fixed the price band at ₹33 to 35 per equity share for the proposed initial public offer.
The public offering, which has a face value of ₹10 per equity share, consists of a fresh issue of shares worth ₹66 crore. There is no offer-for-sale (OFS) part of the offer.
According to the company's Draft Red Herring Prospectus (DRHP), the net proceeds from the issue will be utilised towards funding incremental working capital requirements of the company, and general corporate purposes.
Saffron Capital Advisors Private Ltd is the sole book running lead manager (BRLM) of the issue, and MAS Services Ltd is the registrar.
According to Prashanth Tapse, Research Analyst, Sr VP Research, Mehta Equities Ltd, despite inconsistent growth in the company financials and revised optimism in the market mood, a healthy listing gains 25% or above was expected.
“Allottees should also note Udayshivakumar Infra Limited shall be listed and admitted to dealings on the exchange (BSE and NSE) in the list of 'T' group of securities. We advise allotted investors should look to book profits atleast 50% on listing day,” said Tapse.
