Shares of Just Dial, which made their stock market debut today, surged over 15% to Rs 610 after the company received huge reponse for its initial public offering.
The company has fixed the issue price at Rs 530 a share, but retail investors were alloted shares at Rs 477, after a 10 per cent discount.
Justdial IPO had garnered good response from investors as it was subscribed nearly 12 times. The institutional investor and high net worth individual category was subscribed 10 times and 22 times, respectively, while the retail investor category was subscribed 3.5 times.
Along with the discount, the company had also offered the safety net option for retail investors. Under the safety net arrangement, the promoters of Justdial will repay small investors if share price of the company falls below the issue price six months post listing.
Over 5 million shares were traded on the exchange so far.
