By Our Business Correspondent
The primary market remained in focus on Thursday, with the National Stock Exchange of India (NSE) making its much-awaited stock market debut, while several ongoing IPOs continued to attract investor interest. The NSE shares made a modest debut but gained during the session, even as the broader equity market suffered a sharp sell-off.
NSE shares listed at Rs 1,800 on the BSE, representing a premium of 0.84 per cent over the issue price of Rs 1,785. The stock subsequently touched an intra-day high of Rs 1,878 before closing at Rs 1,818, up 1.85 per cent from the issue price. The exchange commanded a market capitalisation of nearly Rs 4.5 lakh crore at the close.
The NSE’s Rs 22,561.57-crore IPO had received strong demand during its September 17-21 subscription period and was subscribed 5.71 times, with bids worth more than Rs 90,000 crore. The issue was entirely an offer for sale by existing shareholders.
The listing comes after a long-awaited effort by India’s largest stock exchange operator to enter the public markets. NSE’s debut also comes at a time when India’s primary market is witnessing sustained activity and a large number of companies are tapping investors.
Among the ongoing issues, Adroit Industries (India) recorded the strongest subscription response. The IPO received bids for 14.02 crore shares against 78.73 lakh shares on offer, translating into subscription of 17.81 times, according to exchange data at 4:48 pm on September 24. The issue, which opened on September 23, has a price band of Rs 126-134 per share and closes on September 25.
Moneyview also received a strong response on the first day of bidding. The issue attracted bids for 32.36 crore shares against 23.25 crore shares on offer and was subscribed 1.39 times. The price band is Rs 32-34 per share and the issue will remain open until September 28.
Varmora Granito, which opened on September 22, received bids for 5.33 crore shares against 3.39 crore shares on offer. The issue was subscribed 1.57 times and closes on September 24.
Swastika Infra received bids for 1.03 crore shares against 63.35 lakh shares on offer, taking subscription to 1.63 times. Its price band is Rs 175-185 per share and the issue closes on September 25.
ArMee Infotech received bids for 85.92 lakh shares against 74.30 lakh shares on offer, translating into subscription of 1.16 times. The price band is Rs 350-375 per share and the issue closes on September 25.
The response to A-One Steels India remained moderate on the opening day. The company received bids for 42.23 lakh shares against 73.85 lakh shares on offer, resulting in subscription of 0.57 times. The issue has a price band of Rs 385-405 per share and closes on September 28.
Elevate Campuses, which opened on September 23, received bids for 76.91 lakh shares against 3.37 crore shares on offer. The issue was subscribed 0.23 times as of 4:48 pm on September 24. Its price band is Rs 343-362 per share and bidding closes on September 25.
The mixed subscription pattern across the ongoing issues comes against the backdrop of a sharp correction in the secondary market. The Sensex plunged more than 1,200 points on Thursday, while the Nifty fell below 23,100, creating a contrasting picture between the primary and secondary markets.
The NSE listing, however, remained the day’s key primary-market event. The exchange’s shares moved above the issue price despite the weak broader market, although the stock’s opening premium was relatively modest. The stock gained more than 5 per cent from its listing price during the session before ending at Rs 1,818.
With several IPOs scheduled to close over the next few sessions, subscription trends will remain an important indicator of investor appetite for new equity issues. The NSE debut, meanwhile, marks a significant milestone for India’s capital-market infrastructure, bringing the country’s largest stock exchange operator itself into the listed-equity market.