Shares of Servalakshmi Paper debuted with a premium of over 3% on the BSE today vis-a-vis their issue price of Rs 29 per share.
The scrip opened at Rs 30 apiece, up 3.44% from the issue price on the Bombay Stock Exchange (BSE). Within minutes, the stock zoomed up by 21% to touch an early high of Rs 35.10.
On the National Stock Exchange, the scrip opened at Rs 29 apiece, but soon jumped to Rs 35.20.
On the volume front, over six crore shares of the company were traded in the first few minutes of trade.
Servalakshmi Paper, which is in the business of manufacturing, printing and writing paper, had entered the capital market with a price band of Rs 27-Rs 29 per share through a Rs 60 crore public issue.
The company will use the proceeds from the issue for capacity expansion and to meet its working capital requirements, among other things.