Gandhar Oil Refinery IPO Listing: Gandhar Oil Refinery (India) Ltd on Thursday made a stock market debut with 75 per cent IPO listing gains, higher than the expected. Gandhar’s shares started trading at Rs 295.40 apiece on the BSE and Rs 298 on the NSE, against the issue price of Rs 169 per share.
After listing at Rs 295.40 on the BSE, Gandhar Oil Refinery India’s shares rose further and were trading at Rs 305 as of 11:04 am, which is 80.47 per cent higher than its issue price and 3.25 per cent more than the scrip’s opening price.
Prashanth Tapse, senior VP (research) at Mehta Equities Ltd, said, “This is solid listing gain above our expectation for a leading manufacturer of white oils, Gandhar Oil. It is mainly on the back of reasonable IPO valuation when compared to its peers which were trading high.”
Post listing, the valuation gap has narrowed to Gandhar peers and, hence, we expect limited upside from the current levels. “We recommended allotted investors to book listing day profits, which is over and above our expectations.”
Shivani Nyati, head of (wealth) at Swastika Investmart, said, “Gandhar Oil Refinery India Limited made its stock market debut, by listing on the BSE and NSE at Rs 298 per share, nearly 76 per cent higher than its IPO price of Rs 169.”
The IPO was subscribed 64.05 times, which is significantly higher than the expected. This strong response from investors could be due to a number of factors, including the company’s strong track record of growth and profitability, its diversified customer portfolio, and its strong distribution network, she said.
Overall, the listing of Gandhar Oil Refinery India Limited is a success. The company’s strong fundamentals, robust demand for the IPO, and strong listing price suggest that the company is well-positioned for growth in the future, she added.
“However, investors may consider to book profit in it once,” Nyati said.
Gandhar Oil Refinery IPO, which was opened for public subscription between November 22 and November 24, received a strong 65.63 times subscription. The price range for the offer stood at Rs 160-169 a share.
Meanwhile, shares of Tata Technologies Ltd on Thursday also made a stellar debut at Dalal Street. The Tata Group stock was listed at Rs 1,200, a premium of 140 per cent, over its issue price Rs 500 on the National Stock Exchange. Whereas, it was listed at a premium of 140 per cent at Rs 1199.95 against the same issue price on BSE.
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