Shares of India's fifth-largest decorative paints company Indigo Paints listed at Rs 2,607.50 apiece on the NSE, a 75 percent premium over the issue price of Rs 1,490 per share. The stock opened at Rs 2,607.50 on the BSE.
The initial public offer (IPO) of Indigo Paints, which ran from January 20 to January 22, was subscribed 117 times.
The public issue received bids for 64.58 crore shares at the end of the third day as against the issue size of 55.18 lakh shares.
The IPO comprised of fresh issuance of Rs 300 crore and an offer-for-sale of up to 58,40,000 equity shares by promoters as well as investors.
Most brokerage houses had recommended subscribing to Indigo Paints IPO on the back of its fast growth in the last decade compared to peers. Its expansion program, cost-controlling measures, and lowering of debt have also kept the analysts positive on the IPO.
Anand Rathi believes that due to the lower valuations compared to its peers, Indigo Paints is placed at an attractive valuation. It is also confident that the company will maintain the growth levels, which is mirroring in the pricing of the IPO.