NEW DELHI: The public offer of state-run Indian Renewable Energy Development Agency (IREDA) made a stellar market debut on Wednesday. On NSE and BSE, IREDA shares listed at Rs 50 apiece, 56.25% higher than the issue price of Rs 32. Despite the strong listing gain, the shares moved forward and closed the first session at Rs 60 apiece, up 87.50% when compared to the issue price.
Shivani Nyati, head of wealth, Swastika Investmart, said the listing was above the market expectations, reflecting the strong fundamentals and growth potential of the company. “Investors who participated in the IREDA IPO can be pleased with the strong listing gains. The company’s long-term prospects also appear promising, making it a worthwhile investment for those with a long-term investment horizon,” added Nyati.
After this blockbuster debut, the street is now keenly watching the listings of Tata Technologies, Flair Writing and Gandhar Oil as these IPOs attracted high subscription levels last week. While Tata Tech, Gandhar and Fedbank Financial are scheduled to list on Thursday (November 30), Flair Writing listing is scheduled for this Friday, December 1.
Going by the trend in the grey market, Tata Tech IPO may list at a premium of over 80%. The grey market premium (GMP) on Tata Tech stood at Rs 433 a piece on Wednesday, indicating that the shares may list well over Rs 900 apiece, over 80% higher than the IPO price of Rs 500. The GMP on Gandhar Oil stood at Rs 73, indicating that the shares may list at over `240 apiece against its issue price of Rs 169.
Flair Writing shares were trading at over `390 apiece in grey market, 25% higher than the IPO price of Rs 304. The GMP on Fedbank was nil, indicating a flat listing. Booked over 69 times, IPO of Tata Tech, first one from the Tata Group in 20 years, received bids worth Rs 1.57 lakh crore against its issue size of Rs 3,043 crore. The small IPOs of Flair Writing and Gandhar Oil were subscribed 46.7x and 64.1x, respectively.