Anand Rathi Wealth got listed today and it opened on the BSE at Rs.602.05 v/s IPO price of Rs.550, a premium of 9.5%. It rose to an intraday high at Rs.614.95 and low was at Rs.566.10.
The issue was subscribed 9.78 times and saw strong response from retail and non institutional investors.
Retail investors had put in bid 7.76 times, HNIs 25.42 times and QIBs 2.50 times.
In our IPO Analysis, we had said, “Current IPO boom and promoter’s long standing in the market may lead to some listing gain. However, market cycles significantly fluctuate financial performance of asset and wealth management companies, which have already witnessed stagnation in valuation multiples due to high competition. Besides, company’s size is small, does not make it a portfolio pick. On undemanding valuation, one may apply, strictly for listing gains.”