Laxmi India Finance IPO listing: Shares of Laxmi India Finance were off to a poor start on Tuesday, August 5, as they listed at a discount on BSE and the National Stock Exchange (NSE). Laxmi India Finance share price listed at ₹136 on the BSE, a discount of 13.92% to its initial public offer (IPO) price of ₹158. Meanwhile, on the NSE, Laxmi India Finance stock debuted at ₹137.52, down 12.96%.
The listing price for Laxmi India Finance IPO was much below market expectations, as the latest grey market premium (GMP) signalled a flat start. Ahead of its debut today, Laxmi India Finance IPO GMP was nil, below ₹3 it was commanding a day ago.
Laxmi India Finance IPO Details
The ₹254 crore IPO of Laxmi India Finance had seen a tepid response, garnering just 1.86 times bids at the end of the three-day bidding process. The Retail quota was booked the most at 2.20 times, followed by the non-institutional investor (NII) quota at 1.83 times, the employee quota at 1.54 times and the qualified institutional buyer (QIB) quota at 1.30 times.
Laxmi India Finance’s public offer was a mix of a fresh issue of ₹165 crore and an offer for sale of ₹89 crore. The issue, which was open for subscription between July 29 and July 31, was priced in the range of ₹150 to ₹158 apiece.
The company plans to use the proceeds from the fresh share sale to augment the capital base to meet future capital needs towards onward lending.
PL Capital Markets Private Limited acted as the book-running lead manager of the Laxmi India Finance IPO, while MUFG Intime India was the registrar for the issue.
About Laxmi India Finance
Incorporated in 1996, Laxmi India Finance Limited operates as a non-banking finance company (NBFC).
The company provides a range of lending solutions, including MSME loans, vehicle loans, construction loans, and other financial products. It primarily supports small businesses and entrepreneurs, with over 80% of its MSME loan portfolio qualifying as Priority Sector Lending.
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