SKS Microfinance, the country's largest microfinance firm, today listed at Rs 1,036 a share on the Bombay Stock Exchange, reflecting a gain of five per cent over the issue price.
In line with market expectations, SKS Microfinance opened at Rs 1,036, up 5.17 per cent over its issue price of Rs 985 per share. Within minutes of trade, the scrip soared nearly 18 per cent to touch a high of Rs 1,159.90 per piece.
The company made a smart debut on the National Stock Exchange as well opening with a premium of over five per cent at Rs 1,040 a share. It was later trading up 16.24 per cent at Rs 1,145 a share.
On the volume front over 44 lakh shares of the Hyderabad-based firm changed hands on the bourses in early trade.
"The brilliant listing of SKS reflects investor confidence. No doubt it is a pleasant listing and clearly shows sign of market recovery. The IPO had generated a huge response and the company's debut on the bourses are in line with market expectations," SMC Capitals Equity Head Jagannadham Thunuguntla said.
The company which entered the capital market on July 28 raised Rs 1,654 crore through its initial public offer.
The public issue of 1.6 crore shares was priced in the range of Rs 850 to 985 a share.
SKS, founded by Vikram Akula, had fixed the issue price of its IPO at Rs 985 per share, the upper band of the price range. Retail investors got SKS shares at a discount of Rs 50 per piece at Rs 935 per share.
Meanwhile, the broader market was quoting down 21.97 points at 18,144.81 points.