Nuvama Wealth Management lists at Rs 2,750 on NSE; shares see profit booking after debut

Shares of Nuvama Wealth Management, erstwhile known as Edelweiss Securities, were listed at the bourses on Tuesday, September 26 and dealing in the stock began from Rs 2,750 on the National Stock Exchange (NSE), while the stock was admitted for trading on BSE at Rs 2699. In 2020, investment firm PAG picked up stake in the wealth management business of Edelweiss Financial Services and announced the demerger and subsequent listing of its wealth management business, Edelweiss Securities. PAG owns a controlling stake of 56 per cent in Nuvama Wealth. The spun-off entity was listed at the bourses on Tuesday. The newly listed entity hit an upper circuit of 5 per cent to Rs 2833.90 on Tuesday, before dropping sharply. For the financial year ended on March 31, 2023, Nuvama Wealth Management reported a net profit of Rs 323 crore. Nuvama Wealth Management became the third wealth management player to get listed at Dalal Street. Prior to this, Anand Rathi Wealth and Prudent Corporate Advisory Services were listed at the bourses. Both stocks have delivered multibagger returns to investors in the last 18-24 months. The stock has been listed in the trade-to-trade or 'T' segment, which means intra-day trade will not be allowed in this stock. One has to take the delivery in the demat account to sell the stock. Also, the circuit filter for the first 10 trading sessions for the stock will be restricted at 5 per cent only on either side. Nuvama Wealth management allocated 1.05 crore shares to the shareholders of the Edelweiss Financial Services in a proportionate manner after the spin-off. The company intends to increase its asset under management (AUM) to Rs 6 lakh crore by FY 2027-28, which is currently around Rs 2.25 lakh crore.