IPO Update: Midhani listing receives lukewarm welcome from investors

The equity shares of Midhani or Mishra Dhatu Nigam Limited were listed on the stock exchange under B category on Wednesday.

The stock opened on BSE Sensex on its listing day at Rs. 87.00 per share, which is discount of 3 per cent compared to its issue price. At 10:57 hours, the stock of Mishra Dhatu was quoting Rs. 89.45 per share, up Rs. 2.45 or 2.82 per cent compared to its listing price and down by 0.61 per cent compared to its issue price. The company's IPO had a price band of Rs. 87 to 90 per share.

Meanwhile, five major public sector enterprises bought 58 per cent of the Rs. 438 crore issue, which was subscribed 1.21 times. The PSUs include SBI, Union Bank Of India, GIC of India and New India Assurance. Government of India continues to hold 74 per cent of total paid up equity share capital of the company post listing.

 Midhani is a Defence PSU engaged in the manufacture of speciality steel and alloys suitable for use in mission critical operations. The company caters to the Indian armed forces and the space and power sector.