Parag Milk Foods gained nearly 15% on debut day as the stock ended 32.10 points higher at `247.80. The stock listed at `215.70, a premium of 1% over the issue price of `215.
The stock touched an intraday high and low of `250 and `215.70, respectively. Post listing, the company has a market capitalization of `2,084 crore. After extending its initial public offer (IPO) and trimming its price band from `220-227 to `215-227, the issue had managed to sail through with a modest oversubscription of 1.83 times. The issue price for the IPO was set at nearly 40 times its FY15 earnings.
The company raised `751 crore through its public offer of which `300 crore would be utilised for the company’s expansion plans and the rest would go to previous shareholders including IDFC Private Equity and Motilal Oswal Financial Services who brought down their stake through the offer.
Despite volatile market conditions, most companies have been able to make gains on their debut day. Recently listed diagnostic services provider, Thyrocare technologies gained 39% while small finance bank (SFB) licencee, Ujjivan Financial Services surged nearly 15% on their listing day.