DSIJ Mindshare

Though SME IPOs lack the huge numbers and marketing blitzkrieg of mainboard peers, they try to make it up with eye-popping returns if last one year data is anything to go by. 

The stock which was listed on October 21, 2022, on NSE SME, skyrocketed by a whopping 229 per cent and settled at Rs 312.7 as against the issue price of Rs 95 per share. The lot size was 1200 shares, so the investor who got allocated the shares in the IPO would have made a whopping Rs 2.61 lakh as against an investment of Rs 1.14 lakh.

The process through which a privately held firm first sells shares to the public and becomes listed on stock exchanges is known as a Mainboard IPO (Initial Public Offer).

On Monday, the stock jumped nearly 79 per cent and it is trading at the level of Rs 50. The stock touched an intraday high of Rs 52.35 and a low of Rs 47.45.  

Herein, David is referred to as the SME IPOs. SME stands for small & medium enterprises and is considered to be the backbone of India’s growing economy.