The Diwali season has proved to be a success runs for a few at the Dalal Street whereas for others it did not prove to be that great. The Godrej Agrovet first debuted at the securities exchanges with an excellent share price that no other company would even imagine to get for a debut at the share markets. It began well, and the shares kept increasing until the union of Bharti Airtel and Tata group started gaining more points at the nifty, and they topped the boards.
Monday has been a very eventful day for the stock market enthusiasts as the Sensex and nifty soared high points which were not to be seen in few years of time. The Godrej Agrovet bagged the share price that was much higher than what it was priced at the Bombay Stock Exchange and the National Stock Exchange. The price that was listed by the company was Rs 460, and the prices that were listed on the Bombay Stock Exchange’s Sensex index and the National Stock Exchange Nifty index were Rs.621 and Rs. 616 respectively.
This states that the premium price was much higher than that of the issue price, to be precise 34%. The stock prices kept proceeding well at the market, and it kept on increasing until it decided to settle for Rs.595 that was very lesser than Rs. 621 that even went up to Rs.630 at the Bombay Stock Exchange.
Godrej Agrovet is a part of the bigger Godrej groups whose value is about 4.6 billion dollars. The Godrej Agrovet focusses on the agriculture businesses that mainly stresses upon the research and development and with varied operations like animal feed, poultry, dairy, protection of crops, oil palms and processed foods. The company had put up the stock’s price band ranging from Rs.450 to Rs.460. IPO proceeds when utilized properly to lower the capital loans and to repay the commercial papers that were issued will only to lead to a situation of higher profits in the days to come, said the management team of Godrej Agrovet.
The initial public offer (IPO) was priced at Rs 1170 crores. The company stated that they saw more demands than the actual number of shares, 95 times to be precise. The institutional and the non-institutional portion of the public offer were subscribed 151 and 236 times respectively. The debut share is justified for a company with such portfolio and a very successful background of the company playing a major role in the extraordinary debut success.