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Sigachi Industries stock makes bumper debut, zooms over three times to IPO price

Sigachi Industries stock makes bumper debut, zooms over three times to IPO price

Sigachi Industries shares listed at Rs 575, an upside of 3.52 times or 253 per cent to the IPO issue price of Rs 163 on BSE.

On NSE, Sigachi Industries made its debut at Rs 570 per share, implying a premium of 250%. On NSE, Sigachi Industries made its debut at Rs 570 per share, implying a premium of 250%.

Sigachi Industries shares made a strong market debut on Monday, listing at a premium of 252.76% to the issue price. The stock listed at Rs 575, an upside of 3.52 times or 253 per cent to the IPO issue price of Rs 163 on BSE.

Price band of the IPO was fixed at Rs 161 to Rs 163 per share. Total 4.44 lakh shares of the firm changed hands amounting to a turnover of Rs 26.58 crore on BSE. Market cap of the firm rose to Rs 1,856.08 crore.

On NSE, Sigachi Industries made its debut at Rs 570 per share, implying a premium of 250%. Total 13.92 crore shares of the firm changed hands amounting to a turnover of Rs 80.75 crore on NSE. Market cap of the firm stood at Rs 1,839 crore. Later, the stock zoomed 270% to Rs 603.75 compared to issue price on BSE.

Also read: Policybazaar shares list at 17% premium to IPO price, market cap rises to Rs 53k crore

The IPO of Sigachi Industries was subscribed 102 times on the last day. The company received bids 54.89 crore bids for 53.86 lakh shares on the offer. Sigachi Industries raised Rs 125.43 crore through the IPO by issuing 76.9 lakh shares.

The company plans to use the proceeds of the IPO public issue for the expansion of the production capacity facility for Microcrystalline cellulose at Dahej and Jhagadia. It also will use the proceeds to manufacture Croscarmellose Sodium at Kurnool and for general corporate purposes. However, the company will not receive any proceeds from the Offer for Sale (OFS).

The stake of promoters and promoter group has been reduced to 48.5 percent from the earlier 64.6 percent after the issue. The public shareholding has risen to 51.5 percent post the issue from the existing 35.4 percent.

The company manufactures microcrystalline cellulose (MCC), a polymer widely used for finished dosages in the pharmaceutical industry.