Sigachi Industries shares made a stellar stock market debut on Monday. The stock opened for trading at Rs 575 on the BSE compared with its issue price of Rs 163 per shares, marking an upside of 3.52 times or 253 per cent. On the National Stock Exchange, Sigachi Industries shares opened for trading at Rs 570, marking an upside of Rs 407 from the issue price. The stock rose as much as 270 per cent from the issue price to hit an intraday high of Rs 603.75 per share.
Sigachi Industries shares were in very high demand during the three-day share sale via initial public offering (IPO) which ended on November 3. Sigachi Industries IPO was subscribed 102 times with portion reserved for non-institutional investors booked 172 times. Shares reserved for Qualified Institutional Buyers was subscribed 86.51 times and portion set aside for retail investors was subscribed 80.49 times, data from the National Stock Exchange showed.
The company received bids 54.89 crore bids for 53.86 lakh shares on the offer. Sigachi Industries raised Rs 125.43 crore at the upper price band by issuing 76.9 lakh shares. The company manufactures microcrystalline cellulose (MCC), a polymer widely used for finished dosages in the pharmaceutical industry.
Sigachi Industries in its red herring prospectus said that it will use the proceeds from the IPO for expansion of production capacity for MCC at Dahej and Jhagadia in Gujarat and for general corporate purposes.
As of 10:16 am, Sigachi Industries shares traded at Rs 598.50.
Among other stock market listings, promoter of Policybazaar, PB Fintech opened for trading at Rs 1,150 against its issue price of Rs 980 and SJS Enterprises opened for trading at Rs 540, marking a decline of 3.87 per cent from its issue price of Rs 542.
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