Garden Reach fails to entice investors

The stock market debut of the state-run shipbuilders was tepid. Garden Reach Shipbuilders & Engineers Limited listed at Rs. 104, down 11.86 per cent from the issue price of Rs. 118 per share on BSE exchange on Wednesday.

Garden Reach Shipbuilders & Engineers was listed with Scrip Code 542011 under 'B' Group Securities.

The company's initial public offer (IPO) was open for subscription from September 24 to 1 October, following an extension and revision of its price band from Rs 115-118 per share to Rs 114-118 per share. The Rs 345-crore IPO was subscribed 1.02 times.

Garden Reach Shipbuilders & Engineers Limited is a defence PSU companies that engages mainly in shipbuilding for Indian Army and Coast Guard. The company is categorised as a Mini-Ratna

On its debut day, the stock of Garden Reach closed at Rs. 105.10 per share, up by Rs. 1.10 or 1.06 per cent from its open pricing, but down by Rs. 12.90 or 10.93 per cent from its issue price on Wednesday. Meanwhile, the benchmark indices were upbeat with BSE Sensex at 34,760.89, up by 461.42 points or 1.35 per cent.