IPO rush: These stocks turned multibaggers on debut

NEW DELHI: Chemcon Speciality Chemicals' 115 per cent listing gains on Thursday made it the ninth biggest listing history on Dalal Street. With this, at least a dozen IPOs (book building process) have delivered multibagger returns, data compiled by ETMarkets.com suggests.

Tantia Constructions, which got listed in April 2006, was the biggest ever debutant on BSE, as the scrip's listing price of Rs 180 commanded a 260 per cent premium over the issue price of Rs 50. It was followed by GCM Securities, whose debut in March 2013, delivered 225 per cent listing pop over the issue price of Rs 20.

FCS Software Solutions had 200 per cent listing gains, as per data compiled from AceEquity database. This stock was listed in August 2005. Indraprastha Gas, in fact, was a big hit among investors. IGL had in November 2003 listed a premium of 150 per cent.

Salasar Techno Engineering, whose Rs 36 crore IPO was subscribed 273.10 times in July 2017, saw 139.95 per cent listing gains. The scrip opened at Rs 259.15 against the issue price of Rs 108.

Astron Paper & Board Mill comes in at the sixth spot with a listing pop of 128 per cent over the issue price of Rs 70.

At seventh spot is TV Today Network with a 121 per cent listing gain in January 2004 while Nandan Denim with a 121 per cent is the eighth biggest ever debutant as it recorded 118 per cent listing gain in June 2005.

Happiest Minds Technologies (111 per cent), Route Mobile (102 per cent), Avenue Supermarts (102 per cent) and IRCTC (101 per cent) remained other big IPOs with multibagger return on listings.

For Chemcon IPO, analysts said one can book profit at these levels.

Astha Jain of Hem Securities said the estimate for Chemcon's FY21 EPS (post issue) stands at Rs 17.

"At that estimate, we have a fair value of Rs 650. The stock at present is trading below the level in intraday trade and thus has upside potential. But a profit booking is a must," she noted.

She advised investors to take three-fourth of Chemcon listings gains off the table.

Rajnath Yadav, research analyst with Choice Broking said: "Short term investors are recommended to take an exit from Chemcon, as it is trading at premium to listed peers."