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HUDCO makes a decent debut

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Capital Market
Last Updated : May 20 2017 | 12:01 AM IST

Shares of Housing and Urban Development Corporation settled at Rs 72.50 on BSE, a premium of 20.83% over the initial public offer price of Rs 60.

The stock had debuted at Rs 73.45, a premium of 22.42% to the initial public offer (IPO) price. The stock had hit a high of Rs 77.80 and a low of Rs 70.55. On BSE, 3.02 crore shares were traded on the counter.

Housing and Urban Development Corporation (HUDCO) had priced the initial public offer (IPO) at the top end of the Rs 56 to Rs 60 per share price band for the IPO. The IPO closed on 11 May 2016. It received bids for 1622.93 crore shares. The IPO was subscribed 79.53 times. The qualified institutional buyers (QIBs) category was subscribed 55.45 times. The non institutional investors category was subscribed 330.36 times. The retail individual investors (RIIs) category was subscribed 10.79 times.

HUDCO's IPO comprised of offer for sale (OFS) of up to 20.41 crore equity shares by the promoter, the Government of India (GoI). The entire proceeds from the OFS will be paid to GoI. Post-IPO, the promoter's stake reduced to 89.8% from 100%.

HUDCO's net profit stood at Rs 496.29 crore on revenue from operations of Rs 2613.02 crore in nine months ended 31 December 2016.

HUDCO is a wholly owned public sector undertaking (PSU) company, providing loans for housing and urban infrastructure projects in India. The company is conferred with the status of Miniratna (Category-I Public Sector Enterprise) having more than 46 years of experience. The company has a pan-India presence with 21 regional offices and 11 development offices.

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First Published: May 19 2017 | 4:00 PM IST

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