Laxmi Organics Limited which had tapped the capital markets with its fresh issue of Rs 300 crs and an offer for sale of Rs 300 crs did reasonably well on listing day and gained over 26%. Earlier the company had received excellent response and was subscribed 106.81 times. The issue had opened on Monday the 15th of March and closed on Wednesday the 17th of March 2021. The price band was Rs 129-130.
Earlier the company had completed allocation to anchor investors. The company allotted 1,38,46,153 equity shares to 15 anchor investors comprising of 23 entities. Shares were allotted at the top end of the price band at Rs 130.
There were just two levels of allotment where nine investors have been given an equal 10,78,860 equity shares or 7.78% of the anchor book. The second level is where six anchor investors have been given 6,92,300 equity shares or 5% of the anchor book. The list includes a fair mix of FPI, mutual funds and insurance companies.
The QIB portion was subscribed 175.43 times, HNI portion was subscribed 217.62 times and Retail portion was subscribed 20.11 times. There were 23.35 la applications and on basis of lots, the retail portion was subscribed 16.5 times.
The discovered price was Rs 156.20 on BSE and Rs 155.50 on NSE. The traded quantity at the discovered price was 3,31,917 shares on BSE and 59,54,311 shares on NSE. The high of the day on BSE was Rs 174.50, low was Rs 143 and the close was Rs 164.60, a gain of Rs 34.60 or 26.62%. The high of the day was Rs 174.60 on NSE, low was Rs 143.25 and the close was Rs 164.45, a gain of Rs 34.45 or 26.50%.
| Exchange | Open | High | Low | Close | Net Change | % Gain/ Loss | Wt.Avg | Volume | Delivery | Del %age |
| BSE | 156.20 | 174.50 | 143.00 | 164.60 | 34.60 | 26.62 | 159.08 | 5235089 | 1800671 | 34.40 |
| NSE | 155.50 | 174.60 | 143.25 | 164.45 | 34.45 | 26.50 | 159.99 | 68702462 | 22535458 | 32.80 |
| Total | 73937551 | 24336129 | 32.91 |
The traded volume on the two exchanges combined was 739.37 lac shares which was 1.59 times the issue size of 464.04 lac shares and 2.27 times the non-anchor portion of 325.58 lac shares. The delivery volume was 243.36 lac shares which was 32.91% of the traded volume. It was 52.44% of the issue size and 74.75% of the non-anchor size. There were two institutional trades on the buy side reported on the exchanges. In the first trade, 16.75 lacs were bought by Goldman Sachs at Rs 155.71, while in the second trade 15 lacs shares were bought by Plutus Wealth Management at Rs 155.50.
The weighted average of the days trade was Rs 159.08 on BSE while it was Rs 159.99 on NSE. The leveraged HNI who had borrowed money and applied for shares has not yet broken even at the above price. The delivery percentage is reasonably high at 75%. Probably another couple of days, and those still left would sell.
In conclusion, the listing of Laxmi Organics could be summed up as satisfactory, after considering the couple of earlier issues which saw the share price dip on day one in the case of two of them, and one on day two. Considering the poor performance of IPO’s in this bunched up lot, Laxmi has stood out and definitely deserves to be praised for its performance.
