Plaza Wires shares make strong D-St debut; list at 56% premium over issue price

Shares of Plaza Wires made a robust Dalal Street debut on Thursday as the wire manufacturer got listed at Rs 76, a premium of 41 per cent over its issue price of Rs 54 on the National Stock Exchange. Similarly, the stock made its debut at a premium 56 per cent at Rs 84 on BSE.

A day ahead of its listing, Plaza Wires commanded a strong premium of Rs 23-25 apiece in the grey market over its given issue price. The premium for the counter in the unofficial market has remained stable since the closure of the issue, while it has almost doubled since the conclusion of bidding.

The IPO of Plaza Wires could be subscribed between September 29 and October 5. The company sold its shares in the price band of Rs 51-54 per share with a lot size of 277 equity shares and its multiples thereof. The company sold 1,32,00,158 fresh equity shares to raise more than Rs 71 crore via its initial stake sale.

The IPO was overall subscribed 160.97 times during the bidding process, thanks to non-institutional investors (NIIs), whose allocation saw robust 388.09 times bidding and the retail investors' portion subscribed 374.81 times. The quota was reserved for qualified institutional bidders (QIBs) as their quota was booked 42.84 times.

Plaza Wires manufactures wires and cables, sells and markets LT aluminum cables and fast-moving electrical goods (FMEG). The company has a network of 1,250 authorized dealers and distributors. It has branch offices in Rajasthan, Uttarakhand, and Uttar Pradesh; and warehouses in Uttar Pradesh, Assam, Kerala and Delhi.


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