| The Bombay Stock Exchange benchmark index, Sensex, which had declined over 100 points to an intra-day low of 14,731 ended the day down by 18 points at 14,861.89. |
| Ansal Properties and Infrastructure, which fell to an intra-day low of Rs 283.50, settled at Rs 295.50, down by 4.74 per cent. Shares of Unitech, the second-biggest realty firm in terms of market value, fell to an intra-day low of Rs 514 and settled at Rs 524.45, down by 5.21 per cent. |
| Parsvnath also dipped to an intra-day low of Rs 350.50 and ended down 4.35 per cent at Rs 361.90 on the BSE. |
| Sobha Developers closed down by 4 per cent, GMR Infrastructure ended lower by 1.27 per cent and DS Kulkarni Developer settled 5 per cent in the red. Akruti Nirman and India Bulls Real Estate fell 1.60 per cent and 0.26 per cent, respectively. |
| Chirag Negandhi of brokerage Enam Securities said that, "since these stocks were doing quite good for few weeks, may be it's a kind of breather effect. I don't think DLF will have much of an effect on the valuations of other real estate stocks". |
| DLF had raised Rs 9,187.50 crore by selling 175 million shares through Indias biggest ever initial share offering. The shares hit an intra-day high of Rs 714 apiece and a low of Rs 505.60, before closing at Rs 570.05 on BSE. |
| Total traded volume in the counter on BSE was 34.22 million shares. Shailesh Kanani from Angel Broking says: "the DLF listing premium It was in line with our expectations. The valuation was too stretched and nothing much was left on the table for investors". |
| DLF's mega IPO had received an overwhelming response from foreign institutional investors, but the retail investors portion barely got subscribed. |
| Analysts say that there are many issues concerning the real estate sector. One of them is high interest rates, which is acting as a dampener. Steps by the Reserve Bank of India and the government to curb demand in the sector are also having a negative effect, they say. |
Top Section
Explore Business Standard