Mobikwik shares surge 20% after hitting 52-week low on IPO lock-in expiry

Shares of One Mobikwik Systems rallied 20 percent to remain locked in the upper circuit at Rs 298 apiece as the stock saw heavy trading volumes on March 18. This comes a day after the stock crashed 15 percent to hit a fresh 52-week low of Rs 231 apiece on March 17.

The stock saw trading volumes, nearly 6 times higher than its 10-day average. It has now snapped its 5-day losing streak and erased all losses recorded in the previous day.

Notably, the stock had crashed the previous day after the end of its three-month lock-in period. The lock-in expiry unlocked 5 million shares, equivalent to 6 percent of the outstanding equity of the company. The total lock-in value of these shares is estimated at $16 million.

Mobikwik shares had listed at Rs 440 apiece on the NSE in December last year, marking a premium of nearly 58 percent against its issue price of Rs 279 apiece. Despite today's gains, the stock is still down over 32 percent from its listing price. It is now around 7 percent higher than its issue price.