Hyundai Motors India Ltd (HMIL), listed at a reduction of 1.47 per cent Monday, made a weak debut on the Bombay Inventory Change.
The automaker’s shares opened at Rs 1,931 apiece on the BSE, in comparison with Rs 1,960 per share which is the higher band of the worth vary of the corporate’s preliminary public providing (IPO).
After the weak opening, HMIL’s shares additional prolonged losses and fell to Rs 1,866 apiece, down Rs 64.95 or 3.36 per cent at 10.20 am. The shares touched a excessive of Rs 1,968 apiece within the early morning trades.
HMIL’s IPO is the largest share providing within the historical past of the Indian capital market. It was additionally the primary auto agency to go public in 20 years after Maruti Suzuki India Ltd’s itemizing in 2003.
The corporate mounted the worth band of the IPO within the vary of Rs 1,865 to Rs 1,960 per fairness share of the face worth of Rs 10, valuing the corporate at round Rs 1.5-1.6 lakh crore. The provide was opened for subscription from October 15-17.
The share sale comprised an Provide for Sale (OFS) of as much as 14.21 crore fairness shares of face worth of Rs 10 every by the promoter promoting shareholder. OFS is a mechanism the place promoters in a listed firm promote their shares by means of a bidding platform on inventory exchanges. It assist cut back promoters holding in an organization.
The retail quota of HMIL’s IPO remained undersubscribed, with functions coming just for 50 per cent of the allotted shares beneath the retail class. Retail individuals positioned bids for two.49 crore shares, in opposition to 4.95 crore shares provided.
The IPO acquired a complete of 23.63 crore shares as in opposition to 9.97 crore provided.
