Ujjivan Small Finance makes stellar debut; gains 57% against issue price

Ujjivan Small Finance Bank made a strong debut on stock exchanges on Thursday, listing with a hefty premium of over 57 per cent against the issue price of Rs 37.

The scrip listed at Rs 58 on the BSE, a surge of 57 per cent against the issue price of Rs 37. During the day, it fell to Rs 53.10 before settling at Rs 55.90.

On the NSE, the scrip opened at Rs 58.75 and soon touched the day's high of Rs 62.80. The stock finally settled at Rs 55.30, down 5.87 per cent from the listing price.

A total of 1.61 crore shares of the company were traded on the BSE and 25.14 crore units on the NSE during the day.

At the end of the trading session, the company's market valuation stood at Rs 9,660.77 crore on the BSE.

"The experience of Ujjivan Financial Services as an erstwhile microfinance institution, coupled with the ability to address mass market customers will further aid Ujjivan Small Finance Bank to be among the leading players in small finance Banking space. With strong asset quality and attractive valuation, we have a positive view on a long-term perspective," Vinod Nair, head of Research at Geojit Financial Services said.

The initial public offer (IPO), which was open for subscription during December 2-4 was subscribed more than 165 times at a price band of Rs 36-37 per share.

Microfinance lender Ujjivan Financial Services is the holding company of Ujjivan Small Finance Bank.