HPL Electric & Power made a tepid debut on the exchanges even as markets rose by 91 points and closed Tuesday’s session at 28,334.
While the stock listed at R190 a piece — 6% below its the issue price of R202 — it ended the session at R189 apiece.
The IPO was priced in the range of R175-202 per share and had been subscribed 7.9 times, with investors bidding for 11.40 crore shares of the total 1.4 crore shares on offer. The issue received bids for 2.38 crore shares from qualified institutional buyers , of their quota of 41.25 lakh shares. High net-worth individuals bid for 6.87 crore shares of the 30.9 lakh shares reserved for them, bidding over 22 times. Retail investors bid for nearly 2.98 times or 2.15 crore shares of the 72.2 lakh shares reserved. Post-listing,the stock commands a market capitalisation of R1,215 crore.
For the year ended March 2016, HPL Electric & Power’s total revenue grew by 6.6 % year-on-year and net profit was up by 5.78% at R36.6 crore.