IPO Update: Spandana listing gets lukewarm response

The debut of micro finance company (MFI) Spandana Sphoorty on the exchanges was tepid. The stock listed at Rs. 824.00 on BSE at a discount of nearly 4 per cent, but as the trading session progressed the stock turned volatile.

Initial Public Offering (IPO) of the company received a good response from anchor investors as well as retail investors. The issue was open for subscription from August 5 to 7 and was subscribed 1.05 times at Rs. 856 per share.

Spandana, a Non-Banking Financial Company (NBFC)-MFI, entered the capital market following a Rs. 1,200 crore IPO. The company is recognised by the Reserve Bank of India. The company reported a Gross Loan Portfolio of Rs. 3,166 crore, as of March 2018.

In the morning session, the stock of Spandana Sphoorty Financial was trading at Rs. 842.04 per share, up by Rs. 18.04 or 2.19 per cent compared to its opening price at 10:19 hours. However, it crashed to Rs. 733.90 per shared, down by Rs. 90.10 or 10.93 per cent at 10:39 hours. The intraday high was at Rs. 849.00 per share. The stock is placed under 20 per cent price band.