Burger King Lower Circuit – Gullible investors seen badly trapped

By Research Desk
about 3 years ago

On a day when benchmark indices scaled record highs, shares of Burger King India were locked in 10% lower circuit yesterday, frozen at Rs. 150.15, on both NSE and BSE since 10:45 am. Combined NSE and BSE delivery quantity yesterday was high at 1.1 crore shares, against total traded quantity of 1.6 crore shares, which was double the past two-weeks average.

Monday 11th Jan 2021 was the day when lock-in for anchor investors' allotted shares on 10th December, during IPO ended, increasing market float by 33%. That means, 3.4 crore shares of 13.5 crore shares offered in the IPO are now available for sale.

With anchor investors booking 150% gains in a month’s time after acquiring shares at Rs. 60, if their selling pressure continues, retail investors will be facing huge losses, as many have acquired shares above listing price of Rs. 112, when Media and experts their created hype on the stock, in last 2-3 weeks, comparing it with Jubilant Food and Westlife.

One more incidence of gullible retail investors seen having trapped. Who is responsible for big losses being caused to retail investors?

Popular Comments