AU Small Finance Bank jumps 51% on stock market debut

AU Small Finance Bank saw its stock surge more than 50 per cent on Monday during its stock market debut. Shares of the company ended at Rs 541, up Rs 183, or 51 per cent over the issue price of Rs 358. The stock moved in the range of Rs 507-545 on the BSE. On the NSE, where trading had halted for three hours, the stock touched a high of Rs 540 and a low of Rs 523.7. Shares worth Rs 2,075 crore changed hands on the BSE and another Rs 178 crore on the NSE. The spurt in the shares follows huge demand for AU Finance’s shares in its initial public offering (IPO). The Rs 1,900-crore IPO was subscribed nearly 55 times, with high demand across investor segments, particularly institutional investors. Market players said there was huge demand from foreign institutional investors (FIIs) after the IPO created investment legroom. Before the IPO, FII holding in the company was at the ceiling of 49 per cent. Sources said after the IPO, the FII shareholding had dropped to 37 per cent.  Future & Option Trading Tips