State-run e-commerce firm MSTC made a tepid market debut today listing at Rs 111 on Bombay Stock Exchange and at Rs115 on National Stock Exchange.
After the shares of MSTC opened at a 4 per cent discount on the NSE, it touched a high of Rs 120 and a low of Rs 111. On BSE, MSTC opened 7.5 per cent lower than the issue price. MSTC made a high of Rs 116.55 and low of Rs. 110.05 for the day.
After opening at a discount, the share was locked in the upper circuit of 5 per cent at Rs 117 in intra-day trade on the BSE.
The firm carried out a Rs 226-cr initial public offer of the equity shares after which it got listed in the 'T' group securities.
The company received bids for 2,58,29,100 shares against the total issue size of 1,76,70,400 shares. The government has proposed to offload 1.76 cr shares or 25 per cent of total paid-up equity, through the share sale.
State-owned MSTC's initial share sale, which opened on March 13, that was earlier scheduled to close on March 15, was extended till March 20 and price band was revised from Rs 121-128 to Rs 120-128 per share. It was subscribed 1.46 times on the final day of bidding.
MSTC--the Kolkata-based firm, was incorporated in 1964 as a trading company to deal in the export of scrap. Currently, the three main business verticals in the company are E-commerce, Trading, and Recycling.
The company entered into recycling business through a 50:50 joint venture with Mahindra Intertrade Limited (MIL) for setting up a shredding plant and collection centers across the country.
At 3:00 pm, the shares were trading 1 per cent down to Rs. 113.80 on NSE and 2.79 per cent up at Rs. 114.10 on BSE.
(Edited by Rupa Burman Roy)
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