CarTrade Tech gets a dull response at the exchanges, shares list at 1.12% discount
Aug 20, 2021, 10:08 IST
- Shares of CarTrade Tech IPO got listed at 1.12% discount from its price band of ₹1585-1618 per share.
- The IPO was subscribed 20.29 times on the last day of the bidding.
- The market capitalisation of the company stood at ₹7,333.45 crore.
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Shares of CarTrade Tech made a weak listing on the National Stock Exchange (NSE) and BSE at a 1.12% discount from its issue price of ₹1585-1618 per share. Post listing, the market capitalisation of the company stood at ₹7,333.45 crore, according to BSE data.
The shares of CarTrade Tech were trading at ₹1556, 3% higher at 10.01 a.m., on August 20.
The market sentiment also looked dull as benchmark indices Sensex and Nifty 50 were trading lower.
The grey market price of the stock had suggested around 8-10% premium over the upper price band of ₹1618.
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The issue was open for subscription between August 9 and August 11.
The company is a 12-year old startup that operates online platforms like CarWale, CarTrade, BikeWale, CarTradeExchange and AutoBiz for users interested in buying and selling new and used vehicles.
“CarTrade is an electronic exchange focusing on the auto sector and thus there is no peer company having similar business operations. At a higher price band...we feel it is attractive considering its scalable business model, profitable operations and business growth opportunities in the auto sector value chain,” said the report by Choice Broking .
The company was looking to raise ₹3,000 crore through the listing. The company’s revenue from operations have increased at a compound annual growth rate (CAGR) rate of 26.4% over FY18-FY21.
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