InvestorQ : How was the listing performance of Shriram Properties on 20-December?
Dilmini Mercia made post

How was the listing performance of Shriram Properties on 20-December?

Dawn Cherian answered.
5 months ago

There was little surprise that Shriram Properties had a weak listing on 20th December although the listing at a discount of -23.73% on Monday did come as a surprise. Towards the close, the stock did try to stage a recovery but that was more because the stock almost opened at the lower circuit and had nowhere lower to go. Tuesday may be a better test of the stock, but first let us look at the IPO listing story of Shriram Properties on 20-December.

The indications were not too great with 4.60 times subscription and limited trading interest in the grey market. The listing was expected to be flat or with a minor discount. However, that was not the case since the discount was much larger. It may be recollected that the IPO of Shriram Properties was priced at the upper price band level of Rs.118. Let us now look at the actual listing story of Shriram Properties.

On 20th Dec Shriram Properties listed on the NSE at a price of Rs.90, which is a huge discount of -23.73% over the issue price of Rs.118. On the NSE, Shriram Properties closed at a price of Rs.98.90, which represents a first day closing discount of -16.19%. While the closing price was 9.9% above the listing price, it was still a discount listing at lower circuit. The performance was weak on both the stock exchanges viz. the NSE and the BSE.

During the day, Shriram Properties scaled a high of Rs.106.40 on the NSE and a low of Rs.90 which was the listing lower circuit price for the stock. The discount over issue price narrowed through the day but the bounce was not much. The volumes were reasonable at 300.23 lakh shares on NSE worth Rs.296.92 crore. In terms of number of shares traded, Shriram Properties was the nineteenth most active stock on NSE on 20-Dec.

On the BSE, the volumes were much lower at 23.43 lakh shares worth Rs.23.51 crore. At the close of Day-1 of listing, Shriram Properties had a market cap of Rs.1,686 crore.