State-run Hudco on Friday made a spectacular debut on the bourses, as the scrip got listed at Rs 73.45 on BSE, a premium of 22.42 per cent over its issue price of Rs 60 per share.
The Rs 1,224 crore initial public offering (IPO), which was sold in the Rs 56-60 price band, saw nearly 80 times subscription between May 8 and May 11.
The portion reserved for qualified institutional buyers (QIBs) was subscribed 55.45 times, the quota for non-institutional investors was subscribed 330.36 times and the retail investor quota nearly 11 times.
At the upper limit of the IPO price band, the stock was valued of 1.34 times its nine-month FY2017 book value per share.
The company focuses mainly on loans to state governments and agencies and plans to grow the housing finance portfolio, going ahead. Out of a total of Rs 36,386 crore total outstanding loans, the housing finance business accounts for 30.9 per cent contribution, while urban infrastructure finance loans and project-linked bonds account for the remaining 69.1 per cent.