DB Corp Limited, the newspaper and media company from Madhya Pradesh had a dream debut on the bourses yesterday. The company had floated its IPO and issued 1.81 cr shares at a price of Rs 212, the top end of the price band of Rs 185-212. Retail investors were given a discount of Rs 2 per share. The issue was very well received and was oversubscribed with QIB portion oversubscribed 68 times and the overall issue almost 40 times.
The share listed at Rs 250 on the BSE and Rs 254 on the NSE. The highs of the day were Rs 274.60 and Rs 274.70 respectively. The lows were Rs 235.50 and Rs 250.55 respectively. The significant fact about this listing and the trading pattern throughout the day was that the share was fairly steady throughout and unlike most listing day experiences was not as volatile. If one were to look at the trading range it was just about 15 Rs with the share price ranging from Rs 254-269. This is most unusual and clearly indicated the interest that the share has generated. The weighted average price for the day was Rs 264.31 on the BSE and Rs 264.50 on the NSE.
| Exchange | Open | High | Low | Close | Net Change | % gain | Wt Avg | Volume | Delivery | Del % age |
| BSE | 250.00 | 274.60 | 235.50 | 265.90 | 53.90 | 25.42 | 264.31 | 19917851 | 2473663 | 12.42 |
| NSE | 254.00 | 274.70 | 250.55 | 265.90 | 53.90 | 25.42 | 264.50 | 32223215 | 5384833 | 16.71 |
| Total | 52141066 | 7858496 | 15.07 |
The traded volume on the exchange was 5.21 cr shares which is 2.88 times the size of the IPO. The delivery volume was 52.14 lakh shares which as a percentage of shares traded was 15.07%. If one were to compare the same with the shares issued, then the percentage of shares delivered is just under 29%. The share has held steady throughout the day and with very good volumes, indicating interest in the counter.
Three back to back issues have been completed and they have all been listed as well. The first three days of trading in the calendar year 2010 have seen these issues being listed. Readers would recall that JSW Energy listed on Monday the 4th of January, while Tuesday the 5th of January saw Godrej Properties being listed. Yesterday of course was the turn of DB Corp and without doubt this company has been the star of the three.
Today would be interesting from DB Corp’s perspective whether the buyers of shares yesterday push the stock up further or allow it to cool off. More of how this share fared in the weekend analysis.
With three successful listings and three positive days of trading for the market, it has been so far so good. What next? It is a million dollar question.
On the IPO front two issues open next week with one and IPO and the other a FPO. Details on the same would be available on the website over the weekend.
