Punjab & Sind Bank debuts with 22% premium

Punjab & Sind Bank made a smart debut on the bourses today, listing at a premium of nearly 22 per cent over its issue price of Rs 120 on the BSE.

Shares of the state-run lender opened at Rs 146.10, up 21.75 per cent vis-a-vis their issue price, on the Bombay Stock Exchange.

The scrip witnessed a similar debut on the National Stock Exchange and opened at Rs 144, translating into a premium of 20 per cent over the issue price.

The bank had fixed the issue price of shares under its recent initial public offer (IPO) at Rs 120 apiece -- the upper end of the price band of Rs 113-120 a share.

Punjab & Sind Bank raised nearly Rs 480 crore through the initial public offer (IPO), which was subscribed 50.75 times.

The bank will use the IPO proceeds to finance its business expansion plans. The funds raised from the IPO will also take care of the bank's credit growth needs over the next two to three years.

Till today, Punjab & Sind Bank was the sole unlisted nationalised bank out of the 19 in the country.