PC Jeweller Limited (PCJ) listed on the BSE where it had a listing ceremony and on the NSE yesterday. The discovered price was Rs 135.50 on the BSE against the issue price of Rs 135. Incidentally there was a discount of Rs 5 for retail investors which made the allotment price for them as Rs 130. The opening price on the NSE was higher at Rs 137. The opening prices itself were the lows on both the exchanges. The share price was on a roll thereafter and rose to make a high of Rs 154.75 on the BSE and Rs 154.70 on the NSE. The share closed with decent gains of Rs 14 on the BSE at Rs 149 and marginally higher at Rs 149.20 on the NSE.

PCJ had tapped the capital markets with its issue for 451.33 cr shares in a price band of Rs 125-135. The issue was oversubscribed 6.85 times with the QIB portion subscribed 7.33 times and the HNI portion subscribed 18.12 times. The retail portion was subscribed 1.68 times with a difference. Investors have started understanding the new rules of allotment in the retail category where every applicant is first allotted the minimum lot and in case shares remain then only is higher allotment done. In the case of PCJ the retail portion was 1,56,71,250 shares or there could be 1,74,125 applicants who got the minimum shares. There were more applicants than this number and hence every applicant got just the minimum number of shares. This also effectively reduces the oversubscription in the retail category. Whether the system is good or bad would continue to be debated for some time. However what is clear is that in fancied stocks the subscription pattern would be similar while in less fancied stocks one would have to see how investors react.

Coming back to the listing day, 53.34 lac shares (20 lacs on BSE and 33.34 lacs on the NSE) were purchased by DVI Fund Mauritius at a total cost of Rs 76.09 crs. The above mentioned fund was also an anchor invested and was allotted 7.21 lac shares or 10.75% of the anchor book. Besides the above name there is no other buyer or seller mentioned in the bulk trades category of BSE and NSE.

From the table above one is able to see that the total traded quantity on the exchange was 933.17 lac shares which was 2.07 times the IPO size.The total delivery quantity was 207.80 lac shares which was a healthy 46% of the IPO size. The weighted average of the day’s trade was Rs 146.64 on the BSE and Rs 147.50 on the NSE, both below the closing price of the day. This signifies that there was no significant selling pressure on the scrip at any time. Investors have received a comfortable exit and non-retail investors have made 10% while retail investors have made about 14%.

The share is likely to continue to trade in positive territory for some time and one would have to see what other successful applicants do.

In conclusion a good listing in which there have been decent listing gains made by all categories of investors. The stand of the website in urging investors to subscribe to the issue has been vindicated.