MSTC Ltd. made a perfunctory stock market debut on Friday where its share closed at Rs. 113.80 apiece on NSE, it was 5.1 percent lower than its issue price of Rs. 120. It was listed at Rs.115 per share on the broader market.
The MSTC IPO opened for offering on 13 March at a price band of ?121-128 per share. The three-day initial share sale was extended to 20 March at a revised price of 120-128 per share, at which the IPO was subscribed 1.46 times. The government offloaded 1.76 crore shares, or 25% of total paid-up equity, in the MSTC IPO.
The company started in 1964 as a trading company to regulate the export of scrap, it was a canalizing agent for import of ferrous scrap until 1992. MSTC has grown into a large diversified, multi-product services and trading company. After de-canalization, the company has established itself as one of the major players in trading of bulk industrial raw material and one of the leading e-commerce service providers in the country.
Read EquityPandit’s Nifty Metal Outlook for the Week