After making a strong listing debut today on BSE and NSE, share price of Ujjivan Small Finance Bank closed at Rs 55.90 on BSE, rising 51% above the issue price of Rs 37. The stock ended at Rs 55.30 on NSE, 49.4% higher than the issue price.
The market capitalisation of the 'Banking' sector stock with a face value of Rs 10 each, was valued at Rs 9,660.77 crore, by Thursday's closing bell.
However, the Ujjivan Small Finance Bank shares ended at a discount to the listing price. On BSE, the stock closed 3.62% lower than its listing price of Rs 58. Similarly, on NSE, the stock ended 5.87% lower than today's listing price of Rs 58.75.
Earlier today, the stock price of the small finance bank listed (opened) at a premium of 59% over issue price today.
On its listing day, stock of microfinance lender opened at Rs 58 and rose 8.27% to the intraday high of Rs 62.80 on BSE today.
At the minimum allotment (1 lot) of Rs 14,800, an IPO investor would have earned Rs 8,400 when compared to listing price of Rs 58 (400 shares at Rs 58 equals to Rs 23,200). At the closing of Rs 55.90, the same investor would have earned Rs 7,560 from investment in 400 shares.
An investor allotted with 5,200 shares at the maximum lot size of 13 would have infused Rs 192,400 in the IPO. This would have earned him a profit of Rs 109,200 (5200 shares at the listing price of Rs 58 values to Rs 301,600). Similarly, at the closing bell, the same investor would have gathered Rs 98,280 as profit (5200 shares at the closing price of Rs 55.90 equals to Rs 290,680)
A majority of brokerage houses favoured a positive stance on the stock for long-term price appreciation and suggested entering the stock when there is a correction.
The Rs 750-crore initial public offering of the subsidiary of Ujjivan Financial Services' saw subscription of 166 times on the final day of bidding, highest among all IPOs for the year. Compared to this, the IPO of IRCTC recorded 111.91 times subscription in October.
By Rupa Burman Roy