MapmyIndia debuts below expectation but IPO investors still make a sweet 53% return on listing
Dec 21, 2021, 09:52 IST
- Shares of MapmyIndia listed at ₹1,581 while the price band was fixed at ₹1,000-1,033 per share.
- The IPO was a hit among investors as it has been subscribed just 154.71 times on the last day of the bidding.
- The market capitalisation of the company stood at ₹8,417.71 crore.
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CE Info Systems — the parent company of MapmyIndia and the most awaited listing made a strong debut on the National Stock Exchange (NSE) and BSE despite weak market trends. The stock listed at ₹1,581, which is 53% more than the issue price band of ₹1,000-1,033 apiece. Investors have been expecting huge listing gains due to high grey market premium, positive recommendation by analysts as MapmyIndia is a pioneer in digital maps. However, some expectations have been tapered down due to poor market sentiment.
“It was expected that this can give more than 100% return on a listing day however expectations have tapered down amid sharp correction in the market where the grey market premium is indicating a listing gain of around 70-75%,” said Aayush Agrawal, senior analyst at Swastika Investmart.
Post listing, the market capitalisation of the company stood at ₹8,417.71 crore, according to BSE data.
The grey market had indicated a strong listing too as unlisted shares of MapMyIndia were commanding a marginal premium of ₹700 per share.
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The company is one of its kind that builds digital map data, telematics services, location-based software-as-a-service (SaaS) and geographic information system (GIS) services.
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