Mumbai: Real estate player IVR Prime Urban Developers on 16 August got listed with a discount of 9.09% at Rs500 on the Bombay Stock Exchange over its issue price of Rs550.
The company made its debut on a rough day as both the benchmark indices of BSE and NSE tumbled in the opening trade today.
Within minutes of listing the shares of the company touched a low of Rs388.25, while over 4.59 lakh shares exchanged hands on BSE.
Similar trend was witnessed on the NSE, where the company got listed at Rs456.25, touched a low of Rs385 and over 9.25 lakh shares got traded.
The BSE benchmark index Sensex plunged by 637.34 points to 14,363.57 and the wide based NSE benchmark Nifty fell by 196.30 points to 4,173.90.
Later, the scrip gained some strength from its intra-day low and was trading at Rs394.20 on BSE and at Rs394.90 on NSE at 10 am.
Of the total issue proceeds, the company plans to deploy Rs334.7 crore to meet development and construction cost of its IT Park and a mall at Gochibowli (Hyderabad) and Rs57.3 crore for a project in Bangalore.
IVR proposes to utilise up to Rs147.1 crore and Rs41.9 crore for repaying its loan to parent company and Karnataka Bank respectively. Besides, it would use Rs85.7 crore to pay development right costs to IVRCL.
The company is developing four projects in Chennai and Visakhapatnam to build homes in the range of Rs18-20 lakh. It plans to replicate the model in other parts of India as well.