Shares of educational services provider Tree House Education & Accessories made a poor debut on the bourses today, falling below their issue price of Rs 135 within minutes of the opening bell, but soon regained the lost ground to trade 14% higher.
On the Bombay Stock Exchange, the stock got listed at Rs 132.80, a discount of 1.62% against its issue price of Rs 135, while on the National Stock Exchange, the stock debuted at Rs 132, a 2.22% discount against its IPO price.
However, within minutes of listing, the stock rallied to witness a high of Rs 153.95 on the BSE— a jump of over 14% vis-a-vis its issue price— and Rs 153.80 on the NSE, 13.92% above its issue price.
On the volume front, more than 46.41 lakh shares of the company were traded on the BSE and over 58.69 lakh shares had exchanged hands on the NSE by 0949 hours.
The company provides educational services and had 177 pre-schools under the brand name, 'Tree House', in 23 cities across the country as of December, 2010.
The company had raised over Rs 112 crore through its initial public offer and intends to utilise the proceeds for expansion of its pre-school business and to repay debt.