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The stock of VRL Logistics made a stellar debut on the bourses on Thursday. It opened with a bang at ₹288 on the NSE and rose to a high of ₹309 as against the issue price of ₹205. The scrip on Thursday finally closed at ₹294.1, up 43.5 per cent on the NSE.
Rises with volume Investors’ continued appetite for the stock is well reflected as the combined traded volume on the BSE and the NSE zoomed to 3 crore shares. Of the 2.28 crore shares traded on the NSE, 33 per cent (or 75.5 lakh shares) were marked for delivery. The initial public offering of VRL Logistics received an overwhelming response with subscription crossing 74 times. The public issue received bids for 120.8 crore shares against the total issue size of 1.63 crore shares.
This was the highest response a public issue had received in the last eight years, beating the Reliance Power IPO (January 2008), which was subscribed about 73 times.
The IPOs of PFC and Zylog Systems (in 2007) were subscribed about 77 times while ICRA’s public issue was subscribed 75 times.
Biggies lend support Major investors, who boarded VRL Logistics, include Franklin India, ICICI Prudential, Eastspring Investments India Equity Fund, DSP BlackRock Small & Midcap Fund, Shinhan BNP Paribas Asset Management, Abu Dhabi Investment Authority and Morgan Stanley Mauritius Co.
Post-issue, promoters control 69.57 per cent stake in the logistics major, while institutions hold 11.72 per cent, of which foreign institutions account for 4.91 per cent stake.
The IPO saw the entry of 1.23 lakh small investors (value less than ₹1 lakh each) having 9.16 per cent stake in VRL Logistics. Fifty eight high networth individuals hold 1.75 per cent stake in the company.
Bulk deals According to BSE bulk deal data, Goldman Sachs bought about 12.24 lakh shares through open market purchases.
VRL Logistics is the fifth company to hit the capital market this year. While Inox Wind’s public issue received strong response from investors, Adlabs Entertainment and Ortel Communications struggled to sail through.
On the last day of the IPO window on Thursday, the UFO Moviez India’s public issue was subscribed by almost two times.
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