Shyam Metalics & Energy’s Shares End 22.58% Higher On Stock Market Debut
Shyam Metalics Ltd. made its stock market debut at a premium to its issue price.
The integrated metal producer listed at Rs 367 apiece—20% higher than its issue price of Rs 306—on June 24, according to exchange data. The stock gained as much as 30.4% thereafter.
Shyam Metalics’ Rs 909-crore initial public offering was subscribed over 121 times after a three-day share sale, making it the fourth-most subscribed initial share sale of the year so far.
Quota reserved for qualified institutional buyers got subscribed 155.71 times, while non-institutional investors’ category subscribed 339.98 times. Retail and employee categories were subscribed by 11.62 times and 1.55 times, respectively.
The Kolkata-based company, with a focus on long-steel products and ferro alloys, plans to use the proceeds from the fresh issue to reduce debt by Rs 450 crore.
The integrated metal producer’s shares ended the day 22.58% higher at Rs 375.10. That compares to the 0.66% gain seen on the Nifty 50 index and 0.75% gain on Sensex.