Tata Technologies IPO, Gandhar Oil IPO, and Fedbank Financial IPO were among the three IPOs listed on the stock exchanges today, November 30. Tata and Gandhar Oil received a brilliant response, but FedBank failed to impress the investors. The first two IPOs got oversubscribed by more than 60 times.
Tata Technologies IPO saw a fantastic response within the first hour of bidding, with all portions booked multiple times, with non-institutional investors (NIIS), qualified institutional buyers (QIBs), and retail investors leading the way. The NII portion was subscribed to 80% within the first 30 minutes of opening, followed by 48% of the retail portion. Later on, the QIB portion sped up and was fully booked.
Tata Technologies IPO was subscribed to 203 times by Qualified Institutional Buyers (QIBs), showing an overwhelming interest in the IPO, while the Retail Individual Investors (RIIs) portion was subscribed to 16.50 times and the Non-Institutional Investors portion was booked 62 times. Tata Motor shareholders subscribed 29 times to the IPO. The employee portion was subscribed to by 3.7%. Many investors were heartbroken at not getting that debit message on the day of allotment. The TATA IPO was listed at a premium of 140% from the higher band price of Rs. 500 and touched a high of Rs. 1398, doubling investors' money in just an 8-day time frame. Listing on BSE saw the same pricing of Rs 1199. Experts on D-Street also expected a blockbuster listing and project Tata Technologies shares to list at over 75% premium against its issue price of Rs. 500 per equity share. The stocks is currently trading at Rs. 1335.
Gandhar Oil Refinery is a leading manufacturer of white oils whose IPO got subscribed within hours of opening for bidding, got an overwhelming response from investors, and was oversubscribed by 64.07 times. The price band for the IPO was Rs. 160–169 a share, and the shares got listed on the NSE at Rs. 298, a premium of over 70% from the higher base price. Prior to the IPO, the company had raised over Rs. 150 crore from anchor investors, allotting 88.88 lakh equity shares to 16 funds at Rs. 169 per piece. The share is currently trading at Rs 308, giving investors a return of 82%.
Fedbank Financial Services Ltd. shares experienced a weak debut as the IPO was only subscribed twice on a consolidated basis. The share got listed on the NSE at RS. 138, compared to the Rs 140 higher base price of the IPO. When the IPO opened, the gray market premium (GMP) stood at +5, indicating premium listing. However, GMP drifted lower to Rs. 0 per share, suggesting that market participants anticipated listing the IPO at the upper end of the IPO price band at Rs140 apiece without any premium. Banks and NBFCs have been under pressure after the RBI rung the alarm bell on aggressive loan selling and increased provision on certain loan criteria. The Stocks is currently trading at Rs. 146.