BIZ DESK
KSH International Ltd closed its stock market debut with a sharp loss of nearly 8 per cent on Monday, underscoring subdued investor appetite for the issue despite the company’s long presence in the magnet winding wires segment.
The stock was listed at ₹370 on both the NSE and BSE, about 4 per cent below its IPO price of ₹384. Selling pressure continued through the session, with shares eventually settling at ₹355 on the NSE and ₹354.55 on the BSE.
According to Shivani Nyati, Head of Wealth at Swastika Investmart, the muted debut reflected cautious sentiment among investors at the time of listing. She said the weak performance was in line with expectations, given the tepid public response to the issue, limited grey market premium and neutral-to-cautious outlook from analysts on near-term upside. Nyati advised short-term investors to consider exiting, while long-term investors may hold with a stop loss at ₹350.
The Pune-based company had launched its ₹710-crore IPO in a price band of ₹365–384 per share. The offering comprised a fresh issue of ₹420 crore and an offer-for-sale of ₹290 crore by promoters. The issue drew modest interest, with overall subscription at 83 per cent on the final day. Qualified institutional buyers subscribed their portion 1.06 times, retail investors 86 per cent, while the non-institutional investors’ segment lagged at 42 per cent. Ahead of the issue, the company raised ₹213 crore from anchor investors.
Brokerages had earlier cautioned that the modest demand and low grey market premium could weigh on listing performance. Proceeds from the fresh issue will be used to repay debt, expand capacity at the Supa facility, install machinery at the Chakan plant in Pune, set up a rooftop solar power unit, and meet general corporate needs. Founded in 1981, KSH International is part of the KSH Group.