Jobaaj Stories
It would not be an exaggeration to say that the whole world was looking forward to the listing of the shares of the Life Insurance Corporation of India. 17th May brought the shares onto the bourses of India as the shares failed to impress the investors.
Harley Davidson becomes no.1 selling premium motorcycle brand in India, read more.
LIC had set the share price at Rs 949 per share even though people received a discount of Rs 45 or Rs 60 per share in the IPO, depending on which category they invested in. Considering the amount of interest shown in the IPO (the 21,000 crore IPO was subscribed 3x times over its duration) people had expected the shares to perform well.
The shares were listed on the exchanges at 10:00 in the morning and opened at Rs 874.50 per share, at a discounted price of 7.85%. Within the first 5 mins, the share touched an all-day low of Rs 860 per share and an all-day high of Rs 918.95 and surged 3.5%. Following that, the share traded in the range of 905-895 for an hour.
From 11:00, the share declined to Rs 879.95 per share (-2.03%) in 10 mins. During that hour, bulls showed resistance against the selling pressure as the share rose to Rs 893.10 per share. However, after 12:00, the bulls lost as the share declined once again. The share finally closed at Rs 875.25 per share, resulting in a 7.8% decline on its listing day.
Even though LIC performed below the expectations of investors, yesterday was a good day for the Indian stock exchanges. Nifty 50 & SENSEX opened well as they surged 2.63% and 2.54% respectively as this marked the highest climb by the indexes in a single day in nearly 3 months. Nifty closed at 16,259.30 while SENSEX closed at 54,318.47.
Today the share witnessed a partial gap-up opening as it opened at Rs 885.55 per share, up 1.18%. Bulls showed some interest once again as the stock touched a high of Rs 891 per share but collapsed once again. Currently, the shares trade at around Rs 881 per share.
Article by Aman Agarwal.
This news piece is brought to you in association with jobaaj.com
