of said that looking at the revival of sentiment in the secondary market, Reliance Power would probably get listed at a premium of Rs 150 over its issue price of Rs 450. So, it should list at about Rs 600. It is likely to get listed either on Friday or Monday.
Excerpts from CNBC-TV18's exclusive interview with SP Tulsian:
Q: At what price do you expect the Reliance Power IPO to list? What is your advice to those investors who have got the stock?
A: Looking at the revival of sentiment in the secondary market, I feel it would probably get listed at a premium of Rs 150 over its issue price of Rs 450. So, it should list at about Rs 600.
It is likely to get listed either on Friday or Monday. If it gets listed at around Rs 600, I see huge selling coming in from the HNI category because they are breaking even at Rs 145-150 levels. The HNI category had been subscribed 190 times but the final tally shows a subscription of 160 times. This means there was a withdrawal of 30 times from the HNI category. So, there will be selling pressure from that category.
Since the retail category has received a discount of Rs 20, they may continue for sometime and remain invested in the issue. Overall, there will be selling pressure. Whatever price it gets listed, one would see the price softening by about Rs 50-75 from those levels, unless the whole quantity gets absorbed.
Disclosures:
I have no interest in any of the companies discussed.
Source : MoneyControl
SP Tulsian
