PB Fintech, which operates online insurance platform Policybazaar and credit comparison portal Policybazaar got listed on the bourses on Monday (November 15).
The stock made its debut at Rs 1,150, up 17.34 per cent on both the BSE and NSE. It then gained 22.95 per cent to Rs 1,205 on the BSE.
At 10:05 AM, PB Fintech stocks were listing at Rs 1,199 on BSE while on the NSE, the stocks were trading at Rs 1,196 per share each.
At 11.17 AM, on the BSE, the stock was trading at Rs 1,217.50 and on NSE, at Rs 1,222.35.
The initial public offer was subscribed 16.59 times on the last day of subscription. The issue received bids for 57,23,84,100 shares against 3,45,12,186 shares on offer, according to NSE data.
The price range for the offer was at Rs 940-980 per share. The Rs 5,710-crore IPO had a fresh issue of Rs 3,750 crore worth of equity shares and an offer for sale of about Rs 1,960 crore by existing shareholders.
PB Fintech commanded a market valuation of Rs 52,800.49 crore on the BSE in early trade.
PB Fintech had garnered a little over Rs 2,569 crore from anchor investors. Proceeds generated from the fresh issue will be used towards enhancing visibility and awareness of the company's brands, to look for new opportunities to expand growth initiatives to increase the consumer base including offline presence.
The proceeds from the IPO will be used for funding strategic investments and acquisitions, expanding presence outside India and general corporate purpose. Citigroup Global Markets India, Kotak Mahindra Capital Company, Morgan Stanley India Company, ICICI Securities, HDFC Bank, IIFL Securities and Jefferies India were the book running lead managers to the offer.
Aayush Agrawal, Sr. Research Analyst - Merchant Banking, Swastika Investmart Ltd. said, "PB Fintech got listed with a gain of 17 percent which was approximately in line with our expectations. The company is a leading fintech firm that aims to enhance its visibility and awareness along with increasing its customer base which is expected to be beneficial for the company. The existing investors are advised to hold the stock with an SL of 1050 while the new investors can look for a dip. We believe the company can perform much better over the long run."
