Wakefit shares rise 10% from day's low in trading debut after flat listing

Wakefit shares rise on debut day. 

Wakefit Innovations shares recovered sharply from their intraday lows and were trading over 10 percent higher on Monday, after a muted listing.

The stock hit a low of Rs 177.25 per share on the NSE before bouncing back. At around 2 pm, it was trading at Rs 195.81 per share, up 0.5 percent.

Shares of the home and furnishing company made a flat debut against the issue price of Rs 195. On the BSE, the stock listed at Rs 194.10, down 0.46 percent from the issue price, and later fell 9.10 percent to Rs 177.25.

On the NSE, Wakefit shares were listed at par at Rs 195. The company’s market valuation stood at Rs 6,146.01 crore.

The company’s Rs 1,289-crore initial public offering was subscribed over two times on the final day of bidding on Wednesday last week.

The IPO comprised a fresh issue of equity shares worth up to Rs 377.18 crore and an offer for sale of 4,67,54,405 shares valued at around Rs 912 crore.

Proceeds from the fresh issue will be used for setting up 117 new COCO-Regular stores, purchase of new equipment and machinery, lease and sub-lease rent and licence fee payments for existing stores, marketing and advertising expenses, and general corporate purposes.

Wakefit had fixed a price band of Rs 185-195 per share for the public issue.