Valiant Lab shares jump nearly 22% in debut trade

Price range for the offer was Rs 133-140 apiece.

Shares of pharmaceutical ingredient manufacturing firm Valiant Laboratories Ltd ended with a premium of nearly 22 per cent against the issue price of Rs 140 on its first day of trading on Friday.

The stock made its debut at Rs 161, up 15 per cent from the issue price on the BSE. Later, it jumped 20.75 per cent to Rs 169.05 apiece — its highest permissible trading limit for the day. On the NSE, it listed at Rs 162.15, registering a gain of 15.82 per cent. It later rallied 21.60 per cent to settle at Rs 170.25 per piece — its upper circuit level. The company commanded a market valuation of Rs 734.52 crore.

In volume terms, 1.99 lakh shares of the company were traded on the BSE and over 34.27 lakh shares on the NSE during the day. The Initial Public Offering (IPO) of Valiant Laboratories received 29.75 times subscription on the last day of bidding on Tuesday. The initial share sale was an entirely fresh issuance of up to 1.08 crore equity shares. Price range for the offer was Rs 133-140 apiece.

Proceeds of the issue will be utilised to set up a manufacturing facility for speciality chemicals in Gujarat through its subsidiary — Valiant Advanced Sciences Private Ltd — and to meet the working capital requirements of the subsidiary company. Valiant Laboratories is an active pharmaceutical ingredient or bulk drug manufacturing company with its focus on manufacturing paracetamol, used in the treatment of headaches, muscle aches, arthritis, backache, toothache and cold.