AGS Transact Technologies had a forgettable debut with the stock tanking nearly 8 percent at close even as the Indian market rallied more than one percent on January 31.
After opening flat at Rs 176, the stock hit an intraday high of Rs 181.85 in early trade on the BSE but failed to sustain the gains. It slipped to the day’s low of Rs 153.80 and finally settled at Rs 161.30, down a 7.83 percent from the issue price of Rs 175 a share.
On the National Stock Exchange, it closed 7.97 percent lower at Rs 161.05 after touching an intraday high of Rs 181.85 and low of Rs 154.
In terms of volumes, more than 1.76 crore shares changed hands on the NSE, and 11.63 lakh shares on the BSE.
AGS Transact Technologies, one of the largest integrated omnichannel payment solutions providers in India, serves diverse industries such as banking, retail, petroleum, toll and transit, cash management and fintech in India and other select countries in Asia.
The company raised Rs 680 crore through its public issue. The price band was Rs 166-175 per share.
"The first IPO in the calendar year 2022 witnessed muted response on the back of multiple reasons like weaker secondary market sentiments in the recent trading sessions, 100 percent offer for sale and a flat growth in topline," says Gaurav Garg, Head of Research at CapitalVia Global Research.
Though the company is one of the leading players in the ATM management space, it faces threat from next-gen payment solutions providers, he said. Garg advised avoiding this stock for the long term.Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.