Last Updated on 10/12/2021 by Ulka
Star Health and Allied Insurance, funded by Rakesh Jhunjhunwala, debuted on the stock exchanges today, December 10, at a 5.69 per cent discount. At 9:45 a.m., the company’s stock began trading at $848.
At the time, the company’s market capitalization was Rs 48,850 crore.
The initial public offering (IPO) pricing range for Star Health and Allied Insurance was established at $870-900 per share.
Between November 30 and December 2, the three days of the IPO bidding process, Star Health and Allied Insurance received a lacklustre response from investors. Bidding for initial public offerings takes place between 10 a.m. and 5 p.m. on most days.
The issue was only 79 per cent subscribed till 4:00 p.m. on December 2, thus it was extended for retail and qualifying personnel until 7 p.m. The deadline has been extended till 6 p.m. for non-institutional investors.
Analysts believe Star Health and Allied Insurance’s IPO is overvalued, which explains the low demand for the health insurer’s IPO. According to the subscription numbers, non-institutional investors and corporate workers also passed on the IPO.
The IPO included a 2,000 crore fresh issue of shares and a 5.83 crore share offer for sale by existing promoters and shareholders.
The grey market premium (GMP), which is the price at which buyers are willing to buy shares before they are listed on a stock exchange, was negative 80 on December 10, the day before the listing.