Shares of JSW Cement Ltd made a positive debut on the bourses today with a premium of over 4 per cent against the issue price of Rs 147. The stock opened at Rs 153, up 4 per cent from the issue price on the BSE. At the NSE, it listed at Rs 153.50, a premium of 4.42 per cent. The company's market valuation stood at Rs 20,914.02 crore. Later, it jumped 5.23 per cent to Rs 154.70.
However, the counter fell amid profit booking and touched a low of Rs 145.05. Last seen, it was trading at Rs 148.90, representing a fall of 2.68 per cent.
Earlier, the initial public offer of JSW Cement Ltd garnered 7.77 times subscription on the closing day of the share sale on Monday.
The company's IPO, part of the diversified JSW Group, had a price band of Rs 139-147 per share.
The IPO had a fresh issue of Rs 1,600 crore of shares and Rs 2,000 crore of shares through Offer-For-Sale (OFS).
According to the draft papers, the company will utilise proceeds worth Rs 800 crore to part-finance a new integrated cement unit at Nagaur, Rajasthan, and Rs 520 crore for payment of debt and the remaining funds for general corporate purposes.
JM Financial Ltd, Axis Capital, Citigroup Global Markets India, DAM Capital Advisors, Goldman Sachs (India) Securities, Jefferies India, Kotak Mahindra Capital Company and SBI Capital Markets are the book-running lead managers to the offer.
Meanwhile, benchmark indices Sensex and Nifty rallied in early trade amid buying in blue-chip stocks such as HDFC Bank and TCS, along with a positive trend in the US markets.
Extending its previous day's rally, the 30-share BSE Sensex climbed 154.07 points to 80,693.98 in early trade. The 50-share NSE Nifty went up by 45 points to 24,664.35.
