More than seventy per cent of the newly-listed companies are trading well above their issue price, giving handsome returns of up to 98 per cent. Out of the 17 companies that came out with their IPOs and got listed on the bourses this year, 12 have seen remarkable gains against the price at which they had issued shares to investors, an analysis of the stock performance of the newly-listed firms showed.
The rest five companies, however, failed to see positive investor response and are trading below their issue price, falling up to 30 per cent. Among the gainers, microfinance player Ujjivan Financial Services which made its stock market debut in May has seen the biggest rally in its share price and is currently trading 98.35 per cent higher than its IPO price.
E-commerce player Infibeam Incorporation, whose shares got listed in April, comes second by surging 96.52 per cent as compared to the issue price. Shares of staffing firm Quess Corp has risen by 64.35 per cent, while Advanced Enzyme Technologies soared 61.38 per cent and Equitas Holdings gained 59.90 per cent.
Similarly, Parag Milk Foods shares have surged 54.88 per cent, Mahanagar Gas zoomed 47.24 per cent and Thyrocare Technologies jumped 36.32 per cent. In case of RBL Bank, its shares went up 32.8 per cent, while of that of TeamLease Services rose 27.64 per cent.
Shares of S P Apparels and Dilip Buildcon rose 21.88 per cent and 5.70 per cent, respectively. On the other hand five companies - Larsen & Toubro Infotech, Bharat Wire Ropes, HealthCare Global Enterprises, Quick Heal Technologies and Precision Camshafts - suffered losses and failed to trade above their IPO price.
Shares of software security solutions provider Quick Heal have fallen by 29.98 per cent. In the stock market, the BSE benchmark Sensex has surged 2,236 points or 8.56 per cent, while the NSE Nifty gained 769.25 points, 9.68 per cent, so far this year.
The Sensex touched its 52-week high of 29,077.28 on September 8.
Life insurers' new biz premium up 59% in Aug
Life insurance companies' business from new premium rose by 59 per cent to Rs 14,285.20 crore in August this year. The 24 life insurers had clocked in Rs 8,982.59 crore as new business premium during the same month a year ago.
Of the total business generated from new premium in August, LIC - Country's largest and the only state-owned life insurer - garnered Rs 10,713.55 crore, 92 per cent higher than year ago's Rs 5,587.67 crore. The data were released by the Insurance Regulatory and Development Authority of India (Irdai). The rest of the new business premium of Rs 3,571.65 crore was generated by 23 private insurers, up 5.2 per cent from August 2015.
SBI Life registered a growth of 54.6 per cent in new premium at Rs 822.28 crore in August 2016 and ICICI Prudential Life's business grew 13.7 per cent at Rs 732.81 crore. New collection of Max Life rose 23.9 per cent to Rs 253.05 crore and Bajaj Allianz witnessed a rise of 24.4 per cent at Rs 187.85 crore.