New India Assurance makes weak debut; lists below issue price

The stock listed at Rs 749, 6% below its issue price of Rs 800 per share offered to QIBs and NIIs. The company issued shares at Rs 770 to retail individual investors and eligible employees

The New India Assurance Company has listed at Rs 749,  6% below its issue price of Rs 800 per share offered to qualified institutional buyers (QIBs) and non-institutional investors (NIIs). The company issued shares at Rs 770, a discount of Rs 30 on the offer to retail individual investors and eligible employees.

On the National Stock Exchange (NSE), the stock debuted at Rs 750. At 10:04 AM; it was trading at Rs 722 on the BSE after hitting a low of Rs 718. While on the NSE, the scrip was quoting at Rs 725 after hitting a low of Rs 717 in intra-day deals. A combined 893,453 shares changed hands on the counter on the NSE and BSE.

During the initial public offering (IPO), the reserved portion for QIBs was oversubscribed 2.34 times. However, the reserved portion for NIIs (0.12 times), retail investors (0.11 times) and employees (0.21 times) remained undersubscribed, exchange data show.