PSP Projects makes poor debut; lists at 9.5% discount to issue price on NSE

The stock listed at Rs 190, a 9.5% discount against its issue price of Rs 210 per share.

PSP Projects, a construction firm, made a tepid debut at Rs 190 on the National Stock Exchange (NSE), a 9.5% discount against its issue price of Rs 210 per share. On the BSE, the stock opened at Rs 199, 5% below its issue price.

The counter hit a lower circuit of Rs 189 on BSE and Rs 190 on the NSE, post its listing. At 10:05 am, it was trading at Rs 192 on NSE and BSE.  A combined 379,989 shares changed hands on the counter so far.

The construction firm PSP Projects had raised Rs 212 crore through initial public offering (IPO), which was oversubscribed 8.58 times. The qualified institutional buyers' (QIBs) portion oversubscribed 8.38 times, non institutional investors oversubscribed 10.39 times and retail investor’s portion 6.47 times, according to data available with the BSE.

It had fixed a price band of Rs 205-210 per share. The public issue comprises fresh issue of up to 7.2 million shares and offer for sale of up to 2.88 million shares by existing shareholders. Proceeds from the fresh issue will be utilised towards funding working capital requirements and for general corporate purposes.