Shares of Macrotech Developers, on Monday, made a lacklustre debut on the bourses with the stock price closing almost 6 per cent lower at ₹463.15 on the BSE as against the issue price of ₹486.
The stock got listed at ₹439, a discount of 9.67 per cent, and tumbled further to ₹421.15. On the NSE, the stock closed at ₹457.95. Over 3.33 lakh shares changed hands on the BSE and trading volume stood at over 1.10 crore on the NSE.
The ₹2,500-crore initial public offering of Macrotech Developers was subscribed 1.36 times. The company hit the capital market at a price band of ₹483-486 a share.
RIIs’ lukewarm response
The portion reserved for the qualified institutional buyer category was subscribed 3.06 times. While the retail investors’ quota was subscribed just 0.40 times, the non-institutional investor category received bids for 1.45 times.
The company plans to use the proceeds of the issue to reduce debt by up to ₹1,500 crore and acquire land or land developmental rights aggregating up to ₹375 crore.
Anchor investors
Ahead of the issue, Macrotech had raised ₹740 crore from 14 anchor investors by allotting 1.52 crore shares at ₹486 a share. The anchor investors included Capital Group, Nomura India Investment Fund, Government of Singapore, Abu Dhabi Investment Authority and Brookfield Asset Management. Shares were allotted to HDFC Mutual Fund and Premji Invest as well.
This was the third IPO attempt by Macrotech.