The company's IPO, aimed at raising Rs 3,125 crore from capital market, was subscribed 92 percent.
Experts expect a flat or a discounted listing for Sterling and Wilson when it makes its market debut on August 20.
The solar engineering, procurement and construction solutions provider could open lower than the issue price of Rs 775-780, considering weak market sentiment, experts said.
"Choppy market conditions act as a hurdle for listing gains, so we think Sterling & Wilson will see a flat listing or it may be listed on discount to the issue price," said Prashanth Tapse, AVP, Research, Mehta Equities.
Tapse suggested sell for any gains if made on the listing.
"We advise investors to wait and watch for markets to settle and fish it at lower levels below the issue price of Rs 780. We would want to accumulate if the stock comes around Rs 720-740 levels, as we like the way the company operates the business with an asset-light model," he said.
Rajnath Yadav, a research analyst at Choice Broking, who had advised caution while subscribing the IPO, expects a discounted listing.
"The listing is expected to be at a discount to issue price, considering muted subscription and current equity market conditions," he said.
Investors should not go for additional buying on the listing day, he said. Yadav was negative on the stock but said it could be a dividend play in coming months.
Astha Jain, Senior Research Analyst at Hem Securities, advises not to buy the stock on the listing day. The demand for solar power had not evolved as it should have, Jain said. "Due to this fact along with current market volatility, we advise investors to wait before deploying funds at present levels," she said.
The company's IPO, aimed at raising Rs 3,125 crore from capital market, was purchased 92 percent during August 6-8, backed by marquee global institutional investors. It fixed a price band of Rs 775-780 a share.
The issue comprised an offer for sale by promoters Shapoorji Pallonji (Rs 2,083.33 crore) and Khurshed Yazdi Daruvala (Rs 1,041.67 crore).The Great Diwali Discount!
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