SBI Cards share listed at a discount of 13% to the issue price amid gloomy market conditions due to coronavirus scare. SBI Cards share opened at Rs 658 per share on BSE against the issue price of Rs 755 per share. SBI Cards IPO, which was held from March 2 to March 5, was subscribed 26.54 times on its last day despite weak market conditions.The stock has been listed on BSE and NSE. On NSE, SBI Cards share listed at Rs 661, a discount of 12.45% to the issue price.
However, SBI Cards share price recovered most of its losses later. SBI Cards stock gained 12.11% or Rs 80 to Rs 737.20 on BSE. On NSE, the stock was trading 12.19% or Rs 80 points higher at Rs 741.
Market capitalisation of SBI Cards rose to Rs 69,018 crore on BSE. Total 20.09 lakh shares changed hands in early trade amounting to turnover of Rs 143.25 crore.
SBI Cards & Payments Services share made a weak debut on BSE and NSE on subdued market conditions as markets across the world crumble on rising number of coronavirus cases.
The massive crash in Sensex and Nifty is a result of panic selling amid fears of coronavirus which has threatened to lock down global economy and left US economy staring at a recession after 12 years. While Sensex has crashed 21.02% or 8,672 points to 32,580, Nifty has lost 22% or 2,679.65 points to 9,448 since the begining of this year.
SBI Cards IPO hit the market when Nifty was down 8% and Sensex had lost over 7% since the beginning of this year.
Earlier, analysts had predicted SBI Cards share would list at 40-50% premium at the upper end of issue price at Rs 1,000 per share. Price band for the IPO was fixed at Rs 750 to Rs 755 per share.
Equity shares were offered in SBI Cards IPO in a lot of 19 and in multiples of 19 equity shares thereafter. Eligible employees were offered SBI Cards shares at a discount of Rs 75 per share.