The Hudco IPO was oversubscribed 79 times; the share listed at Rs 73.45 on the BSE.
Update at 12.03 AM: Hudco was trading firm, at 72.50, up 20.83 percent. Related stocks such as Indiabulls Housing Finance (down 1.54 percent at Rs 1,038) and LIC Housing Finance up 0.94 percent at Rs 681) were mirroring Sensex that had shed almost all gains to trade just 25 points higher at 30,445.
Update at 10.10 AM: Hudco shares were trading at Rs 76.50, up 27.50 percent to the issue price.
Shares of Hudco listed at a premium of 22.42 percent on the stock exchanges on Friday, after the public sector company's initial public offering (IPO) got an overwhelming response. The public issue was oversubscribed 79 times.
At around 9.55 am, the stock was trading at Rs 73.45 and about 38 lakh shares had changed hands. The Hudco IPO was the first by a Central Public Sector Enterprise (CPSE) under disinvestment since April 2012. The issue opened on May and closed on 11.
The government offloaded 20.4 crore equity shares (20,40,58,747 to be precise) for which the price band was fixed as Rs 56-60 per equity share. In percentage terms, the Indian government's stake dilution is 10.19 percent.
"Bids worth Rs. 97,000 crores were received for an issue size of Rs. 1,200 crores. This is the highest level of oversubscription witnessed in a divestment by Government of India through IPO route," the finance ministry had said in a post-IPO update.
Brokerages — Geojit Financial Services, Centrum Broking, Motilal Oswal Securities and Angel Broking — had a positive view on the IPO and had recommended investors to subscribe.
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