The Sundrex Oil Company share price had a muted start on Dalal Street, reflecting the broader cautious tone seen in the stock market today. On 30 December , the stock made its debut on the NSE Emerge platform, but the opening bell didn’t bring cheer for IPO investors.
Shares listed at Rs 68.80, marking a sharp 20% discount to the issue price of Rs 86. For a company that saw decent interest during the IPO phase, the listing told a different story.
This debut sets the tone for how investors are currently weighing SME stocks amid selective risk-taking.
Market Performance: A Soft Start on Listing Day
The listing numbers clearly showed pressure right from the opening trade.
- Listing price: Rs 68.80 per share
- IPO price: Rs 86 per share
- Discount on debut: Around 20%
- Platform: NSE Emerge
At the listing price, Sundrex Oil Company’s market capitalization stood at Rs 92.15 crore. The gap between IPO demand and listing performance highlights how sentiment can quickly shift once a stock enters the open market.
Main News: IPO Demand vs Listing Reality
Sundrex Oil Company had entered the primary market earlier this month with plans to raise Rs 32 crore through a 100% fresh issue. The IPO was priced in a band of Rs 81 to Rs 86 per share.
During the three-day bidding window from December 22 to December 24, the issue managed to secure full subscription. Retail investors led the demand, subscribing to their reserved portion nearly 2 times.
However, the stock market today presented a more cautious mood, and the secondary market debut failed to mirror the IPO response. Such divergence is not uncommon in SME listings, especially when investors turn selective after allotment.
Company Details: What Sundrex Oil Company Does?
Sundrex Oil Company operates as a manufacturer and wholesaler in the industrial products space. Its portfolio includes:
- Lubricants
- Greases
- A range of industrial-use products
The IPO proceeds are planned to be used for various internal requirements, with no allocation toward acquisitions or external investment-led expansion.
Use of IPO Proceeds
According to the issue details, the company plans to deploy the fresh issue proceeds toward:
- Working capital requirements
- Capital expenditure
- Prepayment and repayment of certain secured and unsecured loans
- General corporate purposes
- Meeting offer-related expenses
These allocations indicate a focus on strengthening internal operations and balance-sheet positioning.
Summary: Sundrex Oil Company Share Price in Focus
The Sundrex Oil Company share price debut highlights the gap that can emerge between IPO subscriptions and real-time market sentiment. Despite full subscription and strong retail participation, the stock entered the market at a notable discount.
For now, the listing performance places Sundrex Oil Company among the SME names that faced immediate pressure on debut, reflecting the cautious undertone in the stock market today.
As trading continues, investor focus remains on how the stock stabilizes post-listing amid broader market conditions rather than IPO-time enthusiasm alone.
Source: Moneycontrol
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