Shankara Building Products listed on Wednesday at a premium of 20.66 per cent on the NSE. It closed the day even higher — up 37.39 per cent.
Subscribed 41 timesThe issue had seen overwhelming response from investors, who oversubscribed it 41.60 times on overall basis. Non-institutional investors had oversubscribed their quota limit by 90.98 times while qualified institutional buyers and retail investors had bid for shares 51.62 times and 15.35 times their quota limits, respectively.
Angel Broking recommends short-term investors to take profits off the table in view of the high valuation — 24 times — but advises long-term investors to hold the stock with a two-three-year timeframe considering shift in client mix towards retail and resultant margin expansion.