Paras Defence stock rallies 3x on debut

Mumbai:

Paras Defence

& Space Technologies, the company whose IPO was subscribed over 300 times to create a new record for India’s capital market, was listed on Friday and the price went up nearly three times its IPO price of Rs 175. On the BSE, the stock was listed at Rs 475, rallied and closed at Rs 499, which was also the day’s high for it. The stellar listing also made

Paras

Defence one of the most successful offers in recent times.

In Friday’s session, over 29 lakh shares of the company changed hands, data from NSE and BSE showed. The company now has a market value of nearly Rs 1,950 crore, BSE data showed.

On September 23, the Rs 171-crore IPO of Navi Mumbai-based Paras Defence closed with a 304-time oversubscription. The offer for the supplier to defence and space sectors in India and abroad was in the price band of Rs 165-175 per share.

The portion of the IPO reserved for non-institutional investors was subscribed nearly 928 times, the part reserved for retail investors was subscribed almost 113 times while the institutional investor category was subscribed about 170 times.

Soon after the IPO closed, Astha Daga, senior VP, Anand Rathi Advisors, the lead manager to the offer, had told TOI that a very strong sector outlook, coupled with the company’s unique position as one of the leading private sector suppliers to the country’s defence & space sectors generated strong interest among investors. A relatively modest IPO size also helped generate good investor interest, Daga had said.