L&T Tech trims early gains; shares end 1% up on debut

Trimming most of its early gains, shares of L&T Technology Services, an arm of engineering giant Larsen and Toubro (L&T), ended one per cent higher as compared to the issue price of Rs 860 in its debut trade.

After debuting at Rs 900, up 4.65 per cent from the issue price, the stock later ended at Rs 865.10, up 0.59 per cent on BSE due to emergence of profit-booking. During the day, it jumped 8.25 per cent to Rs 931.

At NSE, shares of the company rose by 1 per cent to close at Rs 869.

The company commands a market valuation of Rs 8,797.24 crore.

In terms of volume, 19.30 lakh shares of the company were traded on BSE and over 80 lakh shares changed hands on NSE during the day.

Meanwhile, shares of Larsen & Toubro ended flat at Rs 1,496.80, down 0.15 per cent as also Larsen & Toubro Infotech which fell by 0.11 per cent to Rs 637.10 on BSE.

In the broader market, the benchmark Sensex ended at 28,668.22, down 104.91 points.

The Rs 900-crore IPO of L&T Technology Services was oversubscribed 2.53 times during September 12-15. The price band for the offer was fixed at Rs 850-860.

This is the second company from the L&T group to hit the market with an IPO since July, when L&T Infotech had launched a public offer. The flagship Larsen and Toubro is already listed.

Shares of L&T Infotech had made a tepid debut at the bourses in July.

The firm, which provides innovative engineering as well as research and development services across sectors, has revenues of nearly USD 500 million.

L&T Technology Services also offers engineering analytics, Internet of Things and automation solutions.

The erstwhile L&T Integrated Engineering Services, carved out of parent L&T in 2010, was renamed as L&T Technology Services in 2012. Later, certain businesses of L&T Infotech, including telecom and high-technology product engineering services businesses, were transferred to L&T Technology Services.