IPO Game: Bajaj Made Huge Profits But Disappointed Here
IPO Listing: Last week, 3 companies’ IPOs hit the market – Bajaj Housing Finance, Cross Limited and Tollins Tyres. All three IPOs received tremendous response from investors. But after listing, only one IPO made investors happy while the remaining 2 IPOs disappointed them. Yes, while Bajaj Housing Finance’s IPO, which entered the market last week, has brought huge profits to investors, investors have been disappointed with Cross Limited and Tollins Tyres. Bajaj Housing Finance has given double profits to investors after listing. Tell us how the three companies made their debut on the stock market…
Cross Limited IPO Listing
Shares of Cross Limited, a vehicle spare parts manufacturing company, were listed on the market on Monday after its IPO last week. The company’s shares started flat. This means that IPO investors were unable to make money from the stock price and had to feel disappointed.
Shares of Cross Limited were listed this morning on BSE and NSE at a price of Rs 240. In the IPO, the company had fixed the price band of Rs 228 to Rs 240 and one lot included 62 shares. According to this, one had to spend Rs 14,880 to buy one lot of Cross Limited IPO. Since the listing was done at a price equal to the upper price band, investors did not make any money.
Tollins Tires
Shares of Tollins Tyres Limited disappointed investors after its listing on Monday, September 16. The company’s shares were listed on the Bombay Stock Exchange (BSE) at a price of Rs 227, which is just 0.4 per cent higher than its issue price of Rs 226. This listing was completely contrary to estimates in the grey market, where its shares were trading at a 13 per cent premium till the last minute.
Tollins Tyres’ IPO was opened for bidding last week from September 9 to 11. The company had set the price band at Rs 215 to Rs 226 per share. The total size of its IPO was Rs 230 crore. Of this, Rs 200 crore was raised through sale of new shares. The promoters of the company put up shares worth Rs 30 crore for sale.
Tollins Tires IPO received excellent response from investors and closed with a total oversubscription of 25.03 times on the last day. The company got the maximum in the Non-Institutional Investors (NII) category, who subscribed 28.80 times more than the portion of shares reserved for them. While in the Qualified Institutional Buyers (QIB) and Retail categories, the company received 26.72 times and 22.45 times more bids respectively.
Bajaj Finance made huge profits
Apart from the trading day in the stock market, September 16 will also be special for a different reason. Today, Bajaj Housing Finance IPO, which is among the most talked about IPOs of this year, has a spectacular listing. All eyes were on this IPO and it also received a tremendous response. After creating a buzz in the grey market, it has also made a tremendous entry in the stock market. It has provided huge returns to the investors on the very day of listing. It doubled the amount of the investors in a single day.
It was listed at Rs 150 on both BSE and NSE at a premium of 114.29 per cent. Even after listing, the stock’s uptrend continues. Within a short time, the stock crossed Rs 161, the day’s high.
