Star Health Shares Recover After 6% Plunge On Listing

Shares in Star Health and Allied Insurance Company which listed at a discount on Friday, saw a sharp recovery in the share price and was marginally up at Rs 901.

The scrip had fallen over 6% on listing. The shares of the company, which were sold at a price of Rs 900 apiece in the initial public offering (IPO), opened at Rs 848.80 on the BSE, reflecting a fall of 5.69 per cent.

In early trade on the NSE, the scrip opened at Rs 845 apiece, a decline of over 6 per cent compared to the issue price of Rs 900 apiece. On the BSE, the company's market capitalisation stood at Rs 48,850.32 crore. Star Health, a leading private health insurer, is owned by a consortium of investors such as Westbridge Capital and Rakesh Jhunjhunwala. It received a subscription of 79 per cent on the last day of the IPO, which closed on December 2. The insurer's offer went through as portions set aside for both Qualified Institutional Buyers (QIBs) and retail investors were fully subscribed. The issue comprised fresh issue of up to Rs 2,000 crore and an offer-for-sale, and the price band was Rs 870-900 per share. The equity market was trading in the red, with the 30-share Sensex shedding over 206 points to 58,601 points while the broader Nifty index declined over 38 points to 17,479 points.

With inputs from PTI