India’s Initial Public Offering (IPO) market has been buzzing in the fiscal year 2023-24 (FY24), with a significant surge in activity and capital raised. Let’s dive into some insights from the report and take a closer look at the companies trading below their listing prices.
Based on data from Prime Database, a total of 76 Indian corporates raised Rs 61,915 crore through main board IPOs in FY24. This marks a 19% increase from the Rs 52,116 crore mobilized by 37 IPOs in the previous fiscal year (2022-23). However, if we exclude the mega IPO from Life Insurance Corporation (LIC), which debuted in 2022-23, the overall IPO mobilization in FY24 saw a remarkable 58% increase from the previous year.
With such a high level of IPO activity, investor focus has been on the listing prices of these offerings. Some have delivered impressive returns, while others have struggled. Here, we present a list of stocks currently trading below their listing prices. Note that this list includes IPOs not only from FY24, but instead features notable names, including one IPO listed in 2016-2017.
Here’s the list of stocks that are currently trading at a discount to their listing prices:
| Company Name | Listing Year | Listing Price in Rs | CMP in Rs | Discount to listing in Rs |
| AB Capital | 2017 | 250 | 216.85 | -33.15 |
| Ujjivan SF Bank | 2019 | 58.75 | 53.3 | -5.45 |
| Vedant Fashion | 2022 | 935 | 922.3 | -12.7 |
| PNB Housing | 2016 | 860 | 722.1 | -137.9 |
| Tata Tech | 2023 | 1200 | 1082.45 | -117.55 |
The stock of AB Capital, part of the Aditya Birla Group, was listed at Rs 250 on the NSE in 2017. It is currently trading at Rs 216.85, which represents a discount of Rs 33.15 per share.
This company’s stock listed at Rs 58.75 in 2019. Currently, it’s trading at Rs 53.3, indicating a discount of Rs 5.45 per share.
In 2022, Vedant Fashions’ stock listed at Rs 935 per share, with an issue price of Rs 866. Currently, it’s trading at Rs 922.3, showing a discount of Rs 12.7 per share.
The stock of PNB Housing Finance listed at Rs 860 in 2016 against an issue price of Rs 775. Now, it trades at Rs 722.1, a discount of Rs 137.9 per share.
After a successful debut, the stock of Tata Technologies is trading at Rs 1,082.45, a discount of Rs 117.55 from its listing price of Rs 1,200.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
Published on: Apr 23, 2024, 6:18 PM IST
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