Rudra Gas Enterprise lists at 90% premium over issue price on BSE SME

Rudra Gas Enterprise IPO: Ahead of the listing, Rudra Gas shares were trading at a 90 percent premium in the grey market

Rudra Gas Enterprise stock made a strong debut on February 15, listing at a 90 percent premium to the IPO price. The stock opened at Rs 119.7 against the issue price of Rs 63 on the BSE SME.

The listing was along expected lines. Rudra Gas shares were trading at a 90 percent premium in the grey market, an unofficial ecosystem where shares start trading before the allotment in the IPO and until the listing day. Most investors track the grey market premium to get an idea of the listing price.

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The offer, which opened for subscription on February 8 and closed February 12, was subscribed 350 times. The price for the issue was fixed at Rs 63 share. The company raised Rs 14.16 crore though the IPO which was entirely a fresh issue of 22.48 lakh shares.

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The company plans to use the proceeds to meet the working capital requirements and for general corporate purposes.

Rudra Gas Enterprise is engaged in gas distribution network projects, fibre cable networks, construction equipment and vehicle rental. The company provides services in the fields of pipeline construction, civil works, and operation and maintenance of pipeline networks for city gas distribution.