Shilpi Cable stocks fall more than 30 pc after initial spurt

The company started the day at Rs 78.35 on the BSE as against the issue price of Rs 69 a share, reflecting a jump of 13.55 per cent.

Within minutes, the stock surged by 22.68 per cent to touch an early high of Rs 84.65 on the bourse.

In a similar fashion, the company opened the day at Rs 78, up by 13.04 per cent on the National Stock Exchange.

On the volume front, over three crore shares of the company were traded on the bourses within the first one hour of trade.

The company had fixed a price band of Rs 65-69 a share for its Rs 55.88 crore initial public offer.

The proceeds of the issue will be used for capital expenditure on its cable/wire assembly shop, tools for 3G enabling and augmenting cable manufacturing capabilities, long-term working capital requirements for proposed new businesses and for investment in the subsidiary of the company, Shilpi Cabletronics.

Meanwhile, the BSE barometer Sensex was trading at 19,515.41, down by 75.77 points, at 1115 hrs.