Shares Of Saj Hotels Hit 5% Upper Circuit After Listing At Discount

Shares of Saj Hotels Ltd. made a weak debut on the exchanges, listing at a discount of over 15% on the NSE SME platform. The stock opened the session at Rs 55 against their issue price of Rs 65. Investors, who were allotted a single lot of shares in Saj Hotels IPO, would have incurred a loss of Rs 20,000 against an investment of Rs 1,30,000.

Listing at a discount, shares of Saj Hotels gained some ground and hit a 5% upper circuit at Rs 57.75 around 10:05 a.m.

The grey market premium on Saj Hotels stock was nil just ahead of the listing on Monday. The projected listing price of Saj Hotels IPO was Rs 65 with no gain over the issue price, according to InvestorGain. The GMP suggested a possible flat listing for the stock. However, Saj Hotels shares were listed at a discount of Rs 10. 

However, investors must note that the GMP is just a speculative estimate and does not mirror the actual performance of a stock.

The Saj Hotels IPO was open for subscription between Sept. 27 to Oct. 1. The public offer was subscribed over 5.44 times with retail investors leading the demand. The retail portion of Saj Hotels IPO was booked over 8.65 times followed by the qualified institutional buyers quota which was subscribed 3.08 times. The non-institutional investor allocation of the offer was booked 2.07 times.

The allotment of shares in Saj Hotels IPO was finalised on Oct. 3.

Saj Hotels Ltd. aimed to raise Rs 27.63 crore through a fresh issue of 42.5 lakh shares in the IPO.

Saj Hotels IPO was a fixed price issue, offering shares at Rs 65 apiece. Satellite Corporate Services Pvt. is the registrar for the issue.

Retail investors could have bid in the public offer with a minimum lot size of 2,000 shares, totalling an investment of Rs 1,30,000.