Shares of real estate company Shriram Properties will list on the stock exchanges tomorrow, December 20. They will be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).
Ranked among the top five residential real estate developers in South India, Shriram Properties’ initial public offering (IPO) was subscribed by 4.6 times, with retail investors bidding 12.7 times, while the portions of non-institutional and qualified institutional investors were 4 .8 and 1.8 times were entered respectively.
The IPO was opened for subscription on December 8 and closed on December 10, 2021. The company had launched the public offering to raise Rs 600 crore from the primary market.
However, despite a decent subscription, the shares of the company are trading at a premium of around Rs 10 just in the gray market, according to analysts.
They claim that with several options available in the primary market, investors have shown no enthusiasm for Shriram Properties’ IPO.
Rise in cases of ommicron variants in recent weeks and the likelihood of a possible third wave of coronavirus-related cases arriving in the country have been cited by investors as a major reason behind waning interest in the company’s gray market shares.
This could impact the debut of Shriram Properties’ shares on the stock exchanges on Monday, December 20, 2021.