Share under pressure – closes below issue price
Pipavav Shipyard Limited (PSL) listed on Friday the 9th of October 2009 on the NSE and BSE respectively. The share opened well but was under pressure throughout the day. The share saw some short covering toward the end of the day and recovered lost ground but it was not enough to close in the positive for the day. The share closed at Rs 56.80 and Rs 57 on the BSE and NSE respectively. Details of the same are appended below.
| Exchange | Open | High | Low | Close | Net Change | % gain | Volume | Delivery | Del % age | Wt Avg |
| BSE | 60.05 | 64.70 | 53.85 | 56.80 | -1.20 | -2.07 | 50390390 | 9523562 | 18.90 | 57.35 |
| NSE | 61.10 | 61.10 | 53.85 | 57.00 | -1.00 | -1.72 | 81235962 | 17489576 | 21.53 | 57.52 |
| Total | 131626352 | 27013138 | 20.52 | |||||||
What is important from the table above is the extremely high level of trading. The issue was for 8.54 cr shares and the total trading was of 13.16 cr shares or 1.54 times the shares offered. The IPO included subscription by anchor investors which means that the total deliverable shares were about 7 cr shares. Against this number 2.70 cr shares were delivered or 38.57% of the 7 cr shares were delivered. The cause for concern is the extremely high turnover of shares and also the delivery percentage.
The important thing to look out for would be how the scrip behaves in the next two days of trading. In conclusion as far as day one is concerned very clearly it can be said that the share lost ground and was unable to hold on to the issue price.
