New Delhi: Shares of real estate developer Omaxe Ltd listed on the Bombay Stock Exchange (BSE) at Rs400, a premium of 29%, against an issue price of Rs310 an equity share.
They touched an intra-day high of Rs410 before closing at Rs349.95 on a day when BSE’s benchmark index, Sensex, lost 1.36% to close at 15,100.15 points. More than 12 million shares of the company were traded on BSE.
On the National Stock Exchange, more than 29 million shares were traded on Thursday, where the scrip touched an intra-day high of Rs448.
“The sentiment prevailing in the secondary market resulted in Omaxe commanding a smaller premium,”Nitin A. Khandkar, senior vice-president (research), Keynote Capitals Ltd, said. In a different market condition, Omaxe might have closed the day at a level closer to its listing price, Khandkar said. “The market expected the premium to be higher. But there was quite a bit of sell-off during the day.”
The Sensex plunged on Thursday on concerns that the subprime contagion had spread to Europe where French bank BNP Paribas froze three of its assets-backed securities funds.
Omaxe’s initial public offering of up to 17.8 million equity shares was priced between Rs265 and Rs310. The issue was oversubscribed around 68 times, according to data available with the stock exchanges.