Global Surfaces IPO lists at 17.14% premium, rallies further

Global Surfaces IPO had a strong listing on 23rd March 2023, listing at a strong premium of 17.14%, and closing the day still higher on the back of strong buying on the counter on the day of listing. One can almost say that the stock rallied sharply despite having selected the wrong day to list as the Nifty was down 75 points and the Sensex was down nearly 290 points on Thursday. While the stock did show some bouts of volatility during the day, it closed almost 23% higher than the issue price on the first day of trading on the NSE. It also closed well below the listing price. With subscription of a healthy level of 12.21X overall and QIB subscription at 8.95X, the real thrust came from the HNI / NII subscription at 33.10X. Overall, the listing was expected to be moderate to positive, at the very best, but it beat all expectations Here is the Global Surfaces Ltd listing story on 23rd March 2023.

The IPO price was fixed at the upper end of the band at Rs.140 which was anyways understandable considering the rather strong 12.21X overall subscription and the 8.95X QIB subscription in the IPO. It was the HNI / NII subscription that was the strongest. Of course, while the retail portion had got just a little over 5 times subscription in the IPO, the HNI / NII portion had been subscribed over 33 times. The price band for the IPO was Rs133 to Rs140. On 23rd March 2023, the stock of Global Surfaces Ltd listed on the NSE at a price of Rs164 a listing premium of 17.14% on the IPO issue price of Rs140. On the BSE also, the stock listed at Rs163, a strong premium of 16.43% over the IPO price.

On the NSE, Global Surfaces Ltd closed on 23rd March 2023 at a price of Rs172.15. That is a first day closing premium of 22.96% on the issue price of Rs140 and a premium of 4.97% on the listing price of Rs244. In fact, the listing price turned out to be a strong base and though the stock did dip below that, it closed with a lot of sustained strength during the day. On the BSE, the stock closed at Rs170.90. That represents a first day closing premium of 22.07% below the issue price and also a premium of 4.85% below the listing price on the stock exchange. It may be recollected that the IPO price of Global Surfaces was Rs140 and the listing price on the BSE was Rs163. On both the exchanges, the stock listed well above the IPO issue price and closed Day-1 sharply above the listing price and also above the IPO price. In fact, the closing price of the day on both the exchanges was very close to the high price of the day, showing strength. Clearly, the strong subscription had its impact and the unmet demand in the IPO was seen on the first day of listing as investors rushed to buy the stock even at higher prices on the listing day.

On Day-1 of listing i.e., 23rd March 2023, Global Surfaces Ltd touched a high of Rs172.20 on the NSE and a low of Rs156.10. The premium sustained through most of the day, although in the interim the stock price did fall below the listing price, albeit briefly. In fact, if you look at the range of prices, the stock opening price turned out to be very close to the low point of the day and the stock closed very near to the high price of the day. Despite a weak market overall when the Nifty was down 75 points, the positive opening was sustained by Global Surfaces and closed the day with a strong premium with a lot of unmet demand at close. On Day-1 of listing, the Global Surfaces Ltd stock traded a total of 55.86 lakh shares on NSE amounting to value of Rs92.38 crore on the first day. The order book during the day showed a lot of buying with the buy orders far exceeding the sell orders at any point of time. The buying support virtually got accentuated in the last hour or so.

On Day-1 of listing i.e., 23rd March 2023, Global Surfaces Ltd touched a high of Rs171.15 on the BSE and a low of Rs156.30. The premium sustained through most of the day, although in the interim the stock price did fall below the listing price, albeit briefly. In fact, if you look at the range of prices, the stock opening price turned out to be very close to the low point of the day and the stock closed very near to the high price of the day. Despite a weak market overall when the Sensex was down 290 points, the positive opening was sustained by Global Surfaces and closed the day with a strong premium with a lot of unmet demand at close on the BSE. On Day-1 of listing, the Global Surfaces Ltd stock traded a total of 4.36 lakh shares on BSE amounting to value of Rs7.20 crore on the first day. The order book during the day showed a lot of buying with the buy orders far exceeding the sell orders at any point of time. The buying support virtually got accentuated in the last hour or so. While BSE volumes were lower than the NSE, the underlying stock trend on listing day was the same.

The order book through the day showed a lot of selling pressure with the buy orders far exceeding the sell orders at any point of time. That made it a typical buy on dips stock through the day. However, this can also be attributed to the buying support on the day. On the NSE, out of the total 55.86 lakh shares traded during the first day of trading, the deliverable quantity represented most of it. That shows a lot of delivery buying. Even on the BSE, out of the total 4.36 lakh shares of quantity traded, the deliverable quantity at a gross across client level was a healthy 100% on the first day of trading on 23rd March 2023.

At the close of Day-1 of listing, Global Surfaces Ltd had a market capitalization of Rs724.31 crore with free-float market cap of Rs130.37 crore. It traded on T2T segment on BSE. The outstanding number of shares stood at 423.82 lakh shares.