Tarsons Products shares continued to rise after making a strong debut in the secondary market, despite a broad-based sell-off on Dalal Street amid concerns about a new COVID variant. The Tarsons Products stock got locked in the upper circuit at 20 percent and closed at the same level, having listed at a premium of six percent earlier in the day. Tarsons shares were in high demand after its IPO received a robust response from investors.
On BSE, the Tarsons Products shares were frozen at Rs 840 apiece at the close on BSE. On NSE, the stock settled at Rs 818.4 apiece.
Earlier in the day, the Tarsons stock had debuted at Rs 700 apiece on BSE and Rs 682 apiece on NSE.
Tarsons Products joins a majority of new entrants on Dalal Street this year which saw robust demand from investors. Tarsons Products' listing comes days after Latent View Analytics emerged as the third best listing day gainer on Dalal Street, after Sigachi Industries and Paras Defence and Space Technologies.
Investors can continue to hold Tarsons Products shares with a long-term view, said Santosh Meena, Head of Research at Swastika Investmart.
He suggests those who had applied for a listing gain to keep a stop loss at Rs 590. Risk-taking investors can also buy with the same stop loss, he said.
"Tarsons Products is backed by a strong management team with great brand awareness and high-quality goods... We may see profit booking in the stock tracking global cues amid concerns about a new variant of COVID-19. However, it is expected that we may see demand for Tarsons products," he said.
"The Tarsons Products IPO was priced at 34 times on annualised Q1FY22 at the upper end of the price band," Meena added.
Tarsons Products' IPO saw an overall subscription of 77.5 times. Shares were available for bidding under the IPO in the price band of Rs 635-662 apiece in multiples of 22. The Tarsons IPO received bids for a total of 84 crore shares as against the 1.1 crore shares on offer. The IPO was available for subscription from November 15 to November 17.
The Tarsons listing follows the weak debut of Paytm parent One97 Communications, whose shares have seen some recovery after listing at a discount.
(Edited by : Sandeep Singh)
First Published: IST