DB Realty Limited listed its shares at a colourful listing ceremony at the BSE today. The IPO was in a price band of Rs 468-486 and was subscribed 2.95 times. The issue was for Rs 1500 crs. The retail participation was quite poor and just about one third of the retail portion was subscribed. The issue price discovered at the end of the issue was the floor price and was fixed at Rs 468.

The share opened for trading at Rs 430 on the BSE and made a high of Rs 458.80 and a low of Rs 415.20. On the NSE the share opened at Rs 452.10, made a high of Rs 453.90, a low of Rs 414.35. The share has been under pressure right since the morning.

Exchange	Open	High	Low	Close	Net Change	% gain	Volume	Wt Avg
BSE	430.00	458.80	415.20	421.10	-46.90	-10.02	3511077	423.46
NSE	452.10	453.90	414.35	421.10	-46.90	-10.02	4552499	422.38
Total							8063576

The volume in the first seventy five minutes of trade has been reasonable. A total of 80.63 lakhs or roughly 25% of the IPO size of 3.20 cr shares have been traded. Very clearly on a day when markets were expected to be negative and the broad market virtually flat can certainly be considered positive for the stock. It appears that this has not helped the stock and the over-pricing of the issue has led to a 10% fall first thing in the morning on listing day.

Let us hope that the QIB’s who had subscribed to the issue almost five times and did not receive full allotment come forward to buy from the secondary market when the share is available at 90% of the value. Clearly the first hour has gone against the company and it is to be seen how the share fares during the remaining part of trade.
Share looks weak and under extreme pressure.