RITES shares made a strong market debut on Monday. RITES shares opened at Rs. 190 apiece and rose to as much as Rs. 224.40 on the BSE, a premium of more than 21 per cent from the issue price of Rs. 185. At 1:25 pm, RITES shares traded 17 per cent higher at Rs.216.90 on the stock exchange. On the National Stock Exchange (BSE), RITES shares traded at Rs. 214.05. The IPO of government-run consultancy RITES was subscribed nearly 67 times, according to NSE data.
RITES, which was earlier known as Rail India Technical and Economic Service, is a multi-disciplinary consultancy organization in the fields of transport, infrastructure and related technologies. It was established in 1974 under the aegis of the Indian Railways and was incorporated as a public limited company under the Companies Act, 1956.
RITES had issued shares to the public in an initial public offering or IPO between June 20 and June 22. The price band of RITES IPO was between Rs. 180 and Rs. 185. The floor price was 18 times of the face value of the equity shares, and the cap price was 18.5 times of the face value of equity shares.
The book running lead managers for RITES IPO were Elara Capital (India) Private Limited, IDBI Capital Markets & Securities Limited, IDFC Bank Limited, SBI Capital Markets Limited.
RITES IPO was valued at Rs. 466 crore.
Meanwhile, Fine Organic shares were also listed on Monday at a premium of 4 per cent over their issue price.