Stock gains 40% at close
Coal India Limited had a stunning debut on the bourses yesterday. The company had a listing ceremony at the BSE and made its debut with an opening price of Rs 287.75, a gain of Rs 42.75 or 17.44%. The opening price on the NSE was Rs 291. The high of the day was Rs 344.75 on the BSE and Rs 344.90 on the NSE. The lows were Rs 287.45 on the BSE and the open of Rs 291 on the NSE respectively.
| Exchange | Open | High | Low | Close | Net Change | % gain | Wt Avg | Volume | Delivery | Del % age |
| BSE | 287.75 | 344.75 | 287.45 | 342.35 | 97.35 | 39.73 | 327.89 | 192871282 | 58588670 | 30.38 |
| NSE | 291.00 | 344.90 | 291.00 | 342.55 | 97.55 | 39.82 | 327.28 | 479716245 | 187584905 | 39.10 |
| Total | 672587527 | 246173575 | 36.60 | |||||||
The share rose virtually from start to finish and had huge volumes. Foreign Institutional investors were big buyers at the end of the day of the stock and it appears domestic institutions also did some purchasing. The total traded volume was a staggering 67.25 cr shares which was 1.06 times the IPO size of 63.16 cr shares. The total delivery was 24.61 cr shares which was 36.6% of the traded volume and 39% of the IPO size. In terms of value the total delivery had a rupee value of approximately Rs 8,500 crs. The interesting part of yesterday’s trade was the weighted average which was Rs 327.50 approximately.
Coal India at issue price of Rs 245 had a market cap of Rs 1,54,750 crs and was at number 7. Yesterday the share has moved upto number 4 and has a market cap of Rs 2.16 lakh crs. It has overtaken NTPC, Infosys and TCS in this climb from 7th spot to 4th spot. The third spot is a mere Rs 2,100 crs away or the share of Coal India has to rise by roughly Rs 3.50 to overtake SBI. This also implies that SBI share prices remain unchanged at Rs 3435.
This has been a great debut without doubt for the stock and the expectations for future divestments from the Government would raise expectation of the investing public. One hopes that the greed factor which has been witnessed in recent public issues from the private sector does not spread to the government sector, as one bad issue vitiates the atmosphere not just for the next issue but a minimum of the next three issues.
After a great start to Diwali and Coal India, one hopes that the FPO of Power Grid is well priced and offers value to all investors.
HAPPY DIWALI
