CDSL shares gallop 75% on huge demand in debut trade
Central Depository Services (India) Ltd made a remarkable stock market debut on Friday, and ended with a sharp gain of 75.5 per cent from the issue price of Rs 149.
The stock skyrocketed 75.57 per cent to close at Rs 261.60 on NSE. During the day, it zoomed 81.17 per cent to Rs 269.95. Earlier in the day, it had listed at Rs 250, up 67.78 per cent.
On the volume front, over 5 crore shares of the company were traded on NSE during the day.
On the huge response the IPO received, P S Reddy, MD and CEO, CDSL told reporters in Mumbai, "I am very happy that we are able to leave something on the table for investors. And this will spread positive sentiment across the market".
The IPO of BSE's depository arm received an overwhelming response from investors as it was oversubscribed a staggering 170.16 times during June 19-21.
The qualified institutional buyer (QIB) portion was oversubscribed 148.71 times, non-institutional investors 563.03 times and retail investors 23.83 times.
Welcoming the listing of CDSL on its platform, J Ravichandran, CEO in-charge, NSE said, "The listing of CDSL marks a significant milestone for the capital markets. While we at NSE are proud to be part of the process as original co- promoters of NSDL, we are equally proud to list CDSL which is the other depository in the country which has also played an equally important and prominent role".
"Depositories in India have a played a vital role in bringing in transparency and safety in the capital markets.
The presence of the two depositories in India have resulted in healthy competitive scenario, which helped to reduce transaction charges for the investors, which is making the system more efficient and investor friendly," he noted.