EaseMyTrip shares list at subdued 11% premium
During the day, it gained as much as 24.67% up from its issue price of ₹187, before settling at ₹208.30 at close, up 11.39% from issue price
Shares of online travel portal Easy Trip Planners Ltd (EaseMyTrip) closed their first day of trading with a subdued 11.4% premium on Friday, after receiving a whopping 160 times subscription in its initial public offering (IPO) earlier this month.
The stock opened at ₹206 on BSE and hit a high of ₹233.15. During the day, it gained as much as 24.67% up from its issue price of ₹187, before settling at ₹208.30 at close, up 11.39% from issue price.
Analysts blamed the tepid listing on the recent surge in covid-19 cases in India, which could further disrupt its operations and earnings.
India on Friday reported 40,000 new infections in the previous 24 hours—the highest daily number since 29 November. Maharashtra, Punjab, Kerala, Karnataka and Gujarat are the five states that have recorded the highest single-day surge since yesterday, government data shows. The country has been recording more than 20,000 cases since last week.
Earlier, the company had said in its draft red herring prospectus that due to the pandemic outbreak, its businesses, results, financial positions and cash flows were materially and adversely affected.
Domestic and international travel restrictions imposed in India also disrupted the company’s revenue.
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