CARE stock gains 24% on debut

CARE stock gains 24% on debutCredit Analysis & Research Ltd (CARE) stock gained nearly 24 per cent on its debut on Wednesday, bringing much-required cheer on the stock markets.

On the Bombay Stock Exchange (BSE), CARE stock listed at Rs 949 a sher, at a premium of 26.5 per cent premium to its initial public offering (IPO) price of Rs 750, and touched an intra-day high of Rs 986 before closing at Rs 927.

On the National Stock Exchange (NSE), the stock listed at Rs 940 a share against the IPO price of Rs 750 a share. The stock closed at Rs 923 a share.

The impressive premium was driven by the massive demand for the company's Rs 540-crore IPO. The issue was subscribed 41 times. Categories meant for institutional investors, high net worth individuals (HNIs) and retail investors got covered by 46 times, 111 times and 6 times, respectively.

Analysts say that the ratings provider's fundamentals allured investors. The company boasts a strong net worth position and zero debt on a consolidated basis.

CARE is the first company of the three whose IPOs are making their debuts this week. PC Jeweller, which raised Rs 609 crore at Rs 135 a share, will list its share on Thursday; while Telecoms tower operator Bharti Infratel, which recently raised Rs 4,500 crore at Rs 220 a share, will get listed on Friday.