On Tuesday morning, Indigo Paints shares kick-started trading with a bumper premium of 75 per cent over its issue price, given the strong IPO subscription and Budget-driven bullish market sentiment.
Shares of Indigo Paints Ltd made a strong stock market debut today. The stock was listed at ₹2607.50, with a 75% premium over its issue price of ₹1490 apiece.
Indigo Paints was commanding a market capitalization of Rs 12,403 crore on the listing. The recently concluded IPO of the firm was subscribed a massive 117 times, which makes it the most subscribed recent public issues.
Indigo Paints’ initial public offer (IPO) opened for subscription on January 19. The three-day public offer was concluded on January 22.
Indigo Paints is the fifth-largest company in the decorative paint industry in India in terms of its revenue from operations for FY20. As on 30 September, the firm owned, operated three manufacturing facilities in Jodhpur (Rajasthan), Kochi (Kerala), and Pudukkottai (Tamil Nadu). Indigo Paints is a relatively small player with a 2 per cent market share but its profit has grown significantly, nearly 4x in the last 3 years.
