Aye Finance IPO Listing: NBFC Sees A Muted Debut On D

Aye Finance IPO Listing: Shares of Aye Finance was listed on the National Stock Exchange and BSE on February 16. The company saw a drowsy debut on the market, with the shares being listed at par with the upper price band of the issue price of Rs. 129 per share. The non-banking financial company offered its shares to be subscribed within a price band of Rs. 122 – 129. The company raised a total of Rs. 1010 crore from the initial public offering (IPO). This consisted of a combination of fresh equity issue of 54.04 million shares for Rs. 710 crore, along with an offer-for-sale (OFS) of 23.26 million shares worth Rs. 300 crore. The subscription window of Aye Finance’s public issue was open from February 9-11. Before listing, shares of Aye Finance were trading at a grey market premium (GMP) of Rs. 126, according to various websites. This was at a Rs. 3 discount from the upper end of the price band at issue, which indicated a 2.3 per cent loss at listing. At the issue, Axis Capital, IIFL Capital Services, JM Financial and Nuvama Wealth Management acted as book-running lead managers, while KFin Technologies was acting as the registrar. Aye Finance IPO Objectives Fresh proceeds from the IPO of Aye Finance will be used by the company to strengthen the capital base of the firm. The proceeds will also be used to support the growth of the business and in building asset portfolio. The NBFC also “expects to receive the benefits of listing of the equity shares on the stock exchanges, including enhancement of the company’s brand name and creation of a public market for its equity shares in India,” it said. Aye Finance Share Price Immediately after opening flat on both the exchanges, shares of Aye Finance fell on NSE and BSE. Shares of the company were trading over 5 per cent down at Rs. 122.4 on the NSE, and over 3 per cent down at Rs. 125.10 on the BSE