IRM Energy Shares Debut At 5.5% Discount At Rs 477.25 A Piece; Check Details Here

IRM Energy Stock Market Debut: IRM Energy shares got listed on Indian bourses on Thursday. The shares of IRM Energy received a tepid response on the stock market debut as the stock got listed at a 5% discount at Rs 477.25 on the NSE and Rs 479 on the BSE, compared to the IPO price of Rs 505.

It is worth mentioning that the listing price of the shares of IRM Energy was far below what market experts had anticipated. Analysts expected the company to commence trading almost 10% higher compared to its IPO price. This optimism was mainly on account of the fact that the Rs 545 crore IPO of IRM Energy received a decent overall subscription of around 27x.

However, the negative trading on Dalal Street spoiled the plan. The Indian equity market fared poorly today where most stocks traded in red and the two benchmark indices fell over 1% each. Thus, one reason for the dismal performance of IRM Energy shares on day one of the listing can be attributed to the weak trading in the broader market.

Ahead of the listing, IRM Energy was trading at a premium of Rs 30 in the unofficial market. IRM ENERGY LIMITED (a group Company of Cadila Pharmaceuticals Ltd.) is an integrated value-driven energy enterprise developing Natural Gas distribution projects across various districts in the country for industrial, commercial, domestic, and automobile customers. The company is committed to contributing to the energy needs of its consumers.

The initial public offering of IRM Energy opened for subscription on October 18 and the public issue concluded on October 20. Ahead of the IPO launch, the company raised Rs 160.35 crore from anchor investors on October 17. Those who participated in the anchor book include Quant Mutual Fund, DSP Mutual Fund, HDFC Life Insurance Company, SBI General Insurance Company, PNB Metlife India Insurance Company, ITI Mutual Fund, Bank of India Mutual Fund, and Nippon India. The Cadila-backed firm mopped up a total of Rs 545.40 crore by offering 1.08 crore shares via a fresh share sale.

IRM Energy's rivals in the market include Gujarat Gas, Indraprastha Gas, Mahanagar Gas, and Adani Total Gas.