Midwest lists well

Midwest is a new listing today; as against the IPO price of Rs.1065, the stock got a decent listing on the BSE at Rs.1165 and rose further to an intraday high of Rs.1189.50 and is now trading at Rs.1150 levels.

The IPO had met with a very good response – its QIB portion was subscribed 139.86x, HNIs at 168.05 and Retail at 24.21, taking the overall subscription to 87.86x.

Midwest Limited is a Hyderabad-based granite mine owner, producing black galaxy granite and absolute black granite, enjoying 64% and 15% market share respectively. Black galaxy is a highly valued natural stone available only in 1 village in Andhra Pradesh, in the whole world. Company operates 16 mines and 2 processing facilities in Telangana and Andhra Pradesh.

In our IPO Analysis, we had concluded - Avoid Midwest IPO for weak fundamentals and expensive pricing.