Weak trading debut for SIS India; shares slipped 6% below IPO price

Shares of SIS closed at Rs 765, down 6% compared to its issue price of Rs 815

Security and Intelligence Services India (SIS), a cash logistics and security services company, had a weak stock market debut on Thursday with shares slipping six per cent below their initial public offer (IPO) price. 

Shares of SIS closed at Rs 765, down six per cent compared to its issue price of Rs 815. The lackluster performance was despite good response to the company's Rs 780-crore IPO, which saw seven times more demand than shares on offer. 

The retail portion and institutional investor portion of the IPO was subscribed 18 times and 5.64 times respectively. Shares of the company touched a high of Rs 879.8 and a low of Rs 748.8 on the NSE on Thursday. SIS raised fresh capital raising worth Rs 362 crore in the IPO and the rest was offer for sale. The company plans to use the fresh capital to repay debt and fund working capital.