Anil's Reliance Power plummets on listing
Investors on Monday short circuited Anil Ambani group's maiden IPO at the stock markets, with Reliance Power slipping 32 per cent or Rs 175 a share from the listing price to close at Rs 372.50 while the billionaire's other group companies also lost up to a fifth of their value.
In a day of market meltdown that saw the benchmark Sensitive Index plummeting 834 points, ADAG group firms lost a total of over $12 billion or Rs 50,000 crore after Anil rang the customary opening bell at Bombay Stock Exchange to announce listing of Reliance Power through IPO, the first one since he parted ways with elder brother Mukesh in 2005.
The IPO, which generated a whopping demand of Rs 7,50,000 crore to make it the biggest ever maiden offer in India's capital market history, left investors disappointed. The scrip had commanded a premium of up to Rs 550 per share in the grey market ahead of listing.
Listing at Rs 547.8, a premium of 21 per cent over the issue price of Rs 450, Reliance Power slipped into the red within a minute and thus lost its position from the coveted group of top ten valuable entities on the market.
During the day, his other company Reliance Energy and Reliance Communications were the top two losers among Sensex bluechips, shedding Rs 380.95 and Rs 55.70 per share respectively.
At the close of trading, market capitalisation of his group came down to Rs 3,03,300 crore from Rs 3,54,758 crore (including Reliance Power at the issue price).
In comparison, value of the market leader Reliance Industries group, led by Mukesh, was down by about Rs 26,000 crore to Rs 4,01,200 crore.
Enter your email to get our daily newsletter in your inbox
- In an interaction with members of the Indian Women’s Press Corps (IWPC), Sitharaman said that consumer sentiment about the tax burden on auto fuel was understandable.
- Nearly 1.1 million vaccine doses were administered to people above the age of 60 and those in the 45-59 age group till Thursday.
- Mohapatra said the idea came during Modi’s meeting with Marriott International president and chief executive Arne Sorenson, who complained about the complex regulations in starting and running a hotel in India.
- ICICI Bank’s move comes days after rival lenders such as State Bank of India (SBI), Kotak Mahindra Bank and Housing Development Finance Corp. Ltd cut their home loan rates.
- These votes will have to be disclosed to unit holders under existing regulations. Voting will be at the MF level (rather than scheme level).
- Supply of vehicles from Maruti Suzuki India Ltd—as part of the alliance with Suzuki Motor Corp—has helped Toyota increase its domestic market share in the premium hatchback and entry-level SUV segment, where it was not present before.
- The top three states by GVA were Maharashtra, Gujarat, and Tamil Nadu. They had a share of 41% in the total GVA. Rural India added nearly as much GVA (49%) as urban India (51%).
- Using average consumption shares to calculate the burden of an indirect tax has a problem.
- Retail buyers continued to purchase gold in India as prices declined to a near one-year low.