Mumbai: Shares of diagnostic chain Dr Lal PathLabs listed with a hefty premium and ended the day with a sharp gain of 50 percent against the issue price of Rs 550.
After listing at Rs 717, up 30.36 percent over the issue price, shares of the company later ended at Rs 824.15, a steep rise of 49.84 percent on BSE.
During the day, it zoomed 53.16 percent to Rs 842.40. On the NSE, the stock witnessed a sharp rally of 50 percent to Rs 825 at close.
"Newly listed Dr Lal PathLabs remained in limelight today after it listed on the bourses with handsome gains", said Achin Goel, Head: Wealth Management & Financial Planning, Bonanza Portfolio Ltd.
Volumewise, 49.69 lakh shares of the company changed hands at BSE and over two crore shares were traded at NSE during the day.
The company's market valuation stands at Rs 6,811.17 crore.
The stock market on Wednesday witnessed another listing from drug maker Alkem Laboratories that surged nearly 32 percent on its debut trade.
Dr Lal's IPO was a big success with 33.41 times over- subscription. In the IPO, the qualified institutional buyers (QIBs) part was subscribed 63.56 times and non-institutional investors saw 61.28 times subscription.
The retail investors category was subscribed 4.24 times.
Prior to Dr Lal's IPO, Alkem, S H Kelkar, VRL Logistics, Power Mech Projects and Syngene International have seen strong response in terms of subscription so far this year.
The price band was fixed at Rs 540-550 per share for the Rs 638-crore IPO. It also raised over Rs 191 crore from anchor investors by selling shares at Rs 550 apiece.
This year has seen hectic fund raising activities in the IPO segment despite a flat market. Generally, an IPO boom follows a robust equity market. In the broader market, the Sensex ended at 25,850.30, up 259.65 points.
