IBL Finance shares listed at 9.8% premium to NSE SME IPO price

IBL Finance shares were listed on January 16 at a 9.8% premium to the IPO price. The stock opened at Rs 56 against the issue price of Rs 51 on the NSE SME platform. Within minutes, the stock price rose to Rs 58.8, 15.2% above the issue price.

Prior to the listing, IBL Finance shares were trading at a 7% premium on the gray market. The gray market is an informal ecosystem in which stocks begin trading before they are allotted in an IPO until the day they are listed. Most investors track the gray market premium (GMP) to find out the listing price.

Also read: Jyoti CNC Automation makes a decent debut, lists at 12% premium to IPO price

This issue received a fair amount of reaction from investors. He had 17 applications for this offer and the retail portion was booked 24 times for him. Bidding for IBL Finance’s IPO began on January 9th and closed on the 11th. The issue price was fixed at Rs 51 per share. Through the IPO, the company raised Rs 3,341 crore. The offer was an all-new issuance of 65.5 million shares.

Also read: 15-20 unicorns expected to go public within 2 years, 10+ decacorns expected by 2025: Kotak Investment Banking

The Company will use the proceeds to strengthen its Tier-I capital base to meet future capital requirements arising from business and asset growth. The remaining amount will be used for general corporate purposes.

Fedex Securities was the lead bookrunning manager, Bigshare Services was the registrar and Market-Hub Stock Broking was the market maker for this stock.

Also read: Medi Assist Healthcare IPO: Should you subscribe to the Rs 1,171.58 crore issue?

IBL Finance is a fintech-based service platform that uses technology and data science to make lending easier and faster. Through its mobile app, the company offers instant personal loans up to Rs 50,000 through a completely digital process.