Rategain Travel Technologies Limited which had tapped the capital markets with its fresh issue for Rs 375 crs and an offer for sale of 2,26,05,530 equity shares was oversubscribed 17.40 times. The issue had opened on Tuesday the 7th of December and closed on Thursday the 9th of December and had a price band of Rs 405-425.

The discovered price at BSE was Rs 364.80 at which price 18,468 shares were traded while it was Rs 360 at NSE where 20,51,051 shares were traded.

The QIB portion was subscribed 8.42 times, HNI portion was subscribed 42.04 times, the Retail portion was subscribed 8.06 times and the Employee portion was subscribed 1.37 times. There were 6.63 lac applications and on basis of lots, the retail portion of the issue was subscribed 7.42 times.

Earlier the company allotted 1,40,90,136 equity shares at Rs 425 to 20 anchor investors comprising of 34 entities. The highest allocation was made to the Government of Singapore who was allotted 16,44,650 shares or 11.67% of the anchor book. Along with its associate, the Monetary Authority of Singapore who was allotted 2.45% of the anchor book or 3,55,355 shares. The total allotment was 20,00,005 shares to 4 entities which comprised two FII’s and two domestic mutual funds. The FII’s were Ashoka and Nomura while the domestic funds were ICICI Prudential and Nippon. The top five anchor investors were allotted 76,47,185 equity shares or 54.27% of the anchor book.

The high of the day on BSE was Rs 382, the low was Rs 334.10 and the close was Rs 340.50. The loss was Rs 84.50 or 19.88%. On NSE, the high of the day was Rs 383, the low was Rs 333.85 and the close was Rs 340.05 a loss of Rs 84.95 or 19.99%.

The traded volume on the two exchanges combined was 190.04 lac shares which was 0.60 times the IPO size of 314.41 lac shares and 1.10 times the non-anchor portion of 173.51 lac shares. Delivery volume was 98.69 lac shares which were 51.93 % of the traded volume. It was 31.39 % of the issue size and 56.88 % of the non-anchor portion. The weighted average of the day’s trade was Rs 362.15 on BSE and Rs 361.33 on NSE.

In terms of institutional or bulk trade, four were reported on NSE. The first was a buy trade where Goldman Sachs bought 7,19,727 shares at Rs 361.71. The next three were sell trades reported on NSE. The first of these was from Rajasthan Global Securities, which sold 9,35,105 shares at Rs 362.18. The second was from Edelweiss Mutual Fund who sold 6,82,110 shares at Rs 360.7 per share. The third trade was from Integrated Core Strategies who sold 8,78,838 shares at Rs 356.22 per share. While one trades on the buy-side was for 7.19 lac shares there were three on the sell-side for 24.96 lac shares.

The overall traded quantity was poor yet the share appeared to be under pressure as the day progressed. While, the share appears to have had a poor listing as it is manged to close with day with losses of 20% on listing day, considering the fact that this was a new age company and claimed to be the first SaaS company it would be well below par. There could be more pain to follow in the coming days.

In conclusion, a poor listing and well below par for the company on day one, with more pain to follow.

Anand Rathi Wealth Limited which had tapped the capital markets with its offer for sale of 1.2 cr shares in a price band of Rs 530-550, was subscribed 9.78 times. Earlier the company had completed allocation to anchor investors. The company allotted 35,25,000 equity shares to 12 anchor investors comprising of 19 entities. The issue had opened on Thursday the 2nd of December and closed on Monday the 6th of December 2021.

The discovered price at BSE was Rs 602.05 at which price 1,32,738 shares were traded while it was Rs 600 at NSE where 22,14,164 shares were traded.

The company allotted an equal 5,45,481 equity shares or 15.47% to three anchor investors. They are SBI Mutual Fund, ICICI Prudential, and Franklin Templeton. This was followed by an allotment of 4,63,644 shares or 13.15% of the anchor allotment to DSP. The top four anchor investors were allotted 21,00,087 equity shares or 59.56% of the anchor book.

The QIB portion was subscribed 2.5 times, HNI portion was subscribed 25.42 times and the Retail portion was subscribed 7.75 times. The employee portion was subscribed 1.32 times. There were 10.46 lac applications and on basis of lots, the retail portion was subscribed 6.87 times.

The high of the day on BSE was Rs 614.95, the low was Rs 566.10 and the close was Rs 583.50. The gain was Rs 33.50 or 6.09%. On NSE, the high of the day was Rs 615, the low was Rs 565.55 and the close was Rs 583.55 a gain of Rs 33.55 or 6.10%.

The traded volume on the two exchanges combined was 148.17 lac shares which was 1.23 times the IPO size of 120 lac shares and 1.75 times the non-anchor portion of 84.75 lac shares. Delivery volume was 58.77 lac shares which were 39.67 % of the traded volume. It was 48.98 % of the issue size and 69.36 % of the non-anchor portion. The weighted average of the day’s trade was Rs 592.71 on BSE and Rs 591.21 on NSE.

In terms of institutional or bulk trade, four were reported on NSE. The first was a sell trade where Integrated Core Strategies Asia PTE Limited sold 3,72,477 shares at Rs 600. The next three were bought trades reported on NSE. The first of these was from Echjay Industries Pvt Ltd, which bought 3,42,871 shares at Rs 598.26. The second was from Kaamna Credits and Promoters Pvt Ltd who bought 3,00,000 shares at Rs 600 per share. The third trade was from Aalidhra Textool Engineers Private Limited who bought 3,00,000 shares at Rs 575.10 per share. While three trades on the buy-side were for 9.43 lac shares there was one on the sell-side for 3.72 lac shares.

The overall traded quantity was decent but the share appeared to be under pressure as the day progressed. While, the share appears to have had a decent listing as it is managed to close with day gains on listing day, considering the parentage of the group, it would be below par.

In conclusion, a positive listing but below par for the promoters.

Tega Industries Limited which had tapped the capital markets with its offer for sale of 1,36,69,478 shares in a price band of Rs 443-453 received overwhelming support. The issue was subscribed 219.03 times. QIB portion was subscribed 215.45 times, HNI portion was subscribed 666.19 times and the Retail portion was subscribed 29.44 times. There were 34.84 lac applications and on basis of lots, the retail portion was subscribed 24.03 times.

The issue saw a new record level of subscription in the QIB portion and was the highest received in the decade. This beat the subscription received in the HDFC AMC issue which was at 196.26 times. The total subscription amount garnered by this issue was Rs 95,127 crs against the issue size of Rs 619.23 crs. The cost of funding is just under Rs 500 which means the share has to trade near the four-digit level if the leveraged HNI has to make money. This could be a tough task but one never knows.

Earlier the company had completed allocation to anchor investors. The issue had opened on Wednesday the 1st of December and closed on Friday the 3rd of December.

The company allotted 41,00,842 shares to 17 anchor investors comprising of 25 entities. Domestic mutual funds were allotted 25,77,661 shares to 8 entities. This comprised 62.86% of the anchor allocation.

The top allocation was made equal to two anchors, namely SBI Mutual Fund and Ashoka Fund who were allotted 5,73,936 shares or 14% of the anchor allocation. This was followed by an identical 7.54% or 3,09,045 shares to 7 anchor investors. This effectively meant that the top nine anchor investors were allotted 80.78% of the anchor book.

The shares had a discovery price of Rs 753 on BSE and Rs 760 on NSE. At these prices, the traded quantity was 112,666 shares on BSE and 14,36,775 shares on NSE.

The high of the day on BSE was Rs 767.10, the low was Rs 711.50 and the close was Rs 725.50. The gain was Rs 272.50 or 60.15%. On NSE, the high of the day was Rs 767.70, the low was Rs 712.25 and the close was Rs 726.05 a gain of Rs 273.05 or 60.28%.

The traded volume on the two exchanges combined was 177.29 lac shares which was 1.30 times the IPO size of 136.69 lac shares and 1.85 times the non-anchor portion of 95.68 lac shares. Delivery volume was 64.98 lac shares which were 36.65 % of the traded volume. It was 47.54 % of the issue size and 67.91 % of the non-anchor portion. The weighted average of the day’s trade was Rs 741.98 on BSE and Rs 741.53 on NSE.

In terms of institutional or bulk trade, none were reported on either BSE or NSE. The traded and delivery volumes were reasonably high. While the share has had a decent start and done well for itself, the cost of the leveraged HNI was too high for comfort and has ensured that he has lost money on day one. In the short, to medium term, the price would fall as the leveraged HNI would exit making losses.

In conclusion, Good listing but a bad outcome for the leveraged HNI’s who subscribed to this issue so heavily.