Mishra Dhatu Nigam rallies 2% post tepid listing; risk reward looks favourable, says expert
Mishra Dhatu Nigam (MDNL) made a tepid debut on the bourses with the stock listing at Rs 87 on the BSE and NSE, a a discount of 3.33 per cent over its issue price of Rs 90. The stock gained 2 per cent over its listing price to hit an intraday high of Rs 90.90 on the BSE. "Listing gains were not expected on the stock, however, risk reward looks favourable for Mishra Dhatu in the short-term," told Avinash Gorakssakar, HoR, Joindre Capital to Zee Business.
The initial public offering (IPO) of mini-ratna Mishra Dhatu Nigam (Midhani), which was oversubscribed by 1.21 times, was opened for subscription from March 21 to March 23.
The public issue of the Midhani IPO to raise Rs 438 crore received bids for 5,90,66,850 shares against the total issue size of 4,87,08,400 shares, data available with the NSE showed.
The portion set aside for qualified institutional buyers (QIBs) was subscribed 1.96 times, non institutional investors 12 per cent and retail investors 72 per cent.
The company had fixed the price band of Rs 87-90 for the public offer.
SBI Capital Markets and IDBI Capital Markets & Securities were the book running lead managers of the issue while Alankit Assignments was the registrar.