Bharti Hexacom’s share price fell nearly 4% in Monday’s session after Sanjeev Kumar and Surajit Mandol resigned from the company’s board on Friday, April 12.
The departures follow immediately after the end of the Shareholder Agreement, which was brought about by the successful completion of Bharti Hexacom IPO. Now that the IPO is over, the two directors are no longer on the company’s board, the company said in an exchange filing.
The share price of Bharti Hexacom opened at ₹785.05 per one on BSE; the stock touched an intraday low at ₹783 and intraday high at ₹791.
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On Friday, April 12, share price of Bharti Hexacom made a bumper debut on the stock markets. Share price of Bharti Hexacom debuted on the NSE at ₹755, which is 32.5% more than the ₹570 issue price. The shares of Bharti Hexacom opened on the BSE today at ₹755.20, up 32.49% from the issue price. At the end of the session, the list gain was 42.7%.
The initial share price of Bharti Hexacom was predicted by market analysts to be between ₹650 and ₹660.
Bharti Hexacom’s remarkable listing, according to Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, exceeded pre-listing expectations, which were tempered by doubts about the company’s financial performance and valuation.
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The list exceeded expectations, but the risks previously recognized are still significant, according to Nyati. While new investors should check the company’s performance and market conditions before making a new entry, current investors can choose to keep their shares.
Investors responded well to Bharti Airtel’s subsidiary Bharti Hexacom during the three-day subscription period. On the last day, QIBs (qualified institutional buyers) took center stage with a 48.57 time subscription to the issue. Non-institutional investors (NII) responded substantially (10.52 times subscription), although retail investors showed good demand (2.83 times subscription). The total Bharti Hexacom IPO subscription status on the third day was 29.88 times, according to BSE data.
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The company’s Red Herring Prospectus stated that there is no fresh issue component to the Bharti Hexacom IPO and that it is only an offer-for-sale (OFS). The company’s only selling stakeholder, Telecommunications Consultants India, intended to sell 7.5 crore equity shares, or 15% of the OFS.
Bharti Hexacom is a communication solutions company that serves the telecom circles in Northeast India, which includes Rajasthan and the states of Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, and Tripura. It offers broadband services in addition to landline telephone service. The business goes by the name Airtel to market its services.
Also Read: Bharti Hexacom share price makes great debut, shares open 32.5% premium at ₹755 on NSE
Disclaimer: The above views and recommendations are those of individual analysts, experts and trading companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.
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Published: 15 Apr 2024, 09:32 IST