PNC Infratech declined below issue price

The stock had listed at Rs 387, a 2.4% premium against its issue price of Rs 378 per share; At 1004 hours, the stock was trading at Rs 377

Shares of PNC Infratech had listed at Rs 387, a marginal 2.4% premium against its issue price of Rs 378 per share on the National Stock Exchange (NSE).

However, the shares declined below the issue price at Rs 351 immediately after the listing on the NSE. At 1004 hours, the stock was trading at Rs 377.

On the BSE, shares were listed at Rs 381. Currently, the stock is trading at Rs 377, touched high of Rs 388 and low of Rs 360 so far. A combined 1.9 million shares changed hands on the NSE and BSE.

The company raised Rs 488 crore by issuing 12.92 million equity shares through the initial public offer (IPO). The issue was oversubscribed by 1.4 times. The qualified institutional buyers' portion was subscribed 4.5 times while the portion reserved for non-institutional investors was subscribed 0.65 times and of retail individual investors by 0.26 times.

The company will use the funds for working capital requirements, investment in subsidiary (PNCRHPL) for projects, investment in capital equipment, repayment/ prepayment of certain indebtedness and funding expenditure for general corporate purposes.

PNC Infratech is an infrastructure construction, development and management company, with expertise in the execution of major infrastructure projects, including highways, bridges, flyovers, power transmission lines, airport runways, development of industrial areas and other infrastructure activities.