India's Harsha Engineers International surges 47% in market debut
BENGALURU (Reuters) -Shares of India's Harsha Engineers International defied a weak broader market to jump as much as 47.4% in their debut on Monday, following strong investor interest for the precision products maker's $93 million IPO.
The company, which makes and sells bearing cages used in cars, railways and planes, saw its shares rise to as much as 486.3 rupees, compared with the issue price of 330 rupees, giving it a valuation of about $543 million.
Earlier this month, the Gujarat state-based company's issue saw bids almost 75 times the number of shares on offer, according to exchange data.
The IPO consisted a fresh issue of shares worth 4.55 billion rupees and a sale of shares by existing shareholders worth 3 billion rupees.
The company is well-placed to capture a growth recovery in the auto and auto ancillary sector, Anand Rathi Research analysts said in a pre-IPO note.
The debut comes in the midst of a global lull in listings, as market and financial conditions tightened in the face of soaring inflation and growth worries.
The Nifty 50 index was, meanwhile, down as much as 2% on Monday at a two-month low as investors dumped risky assets on renewed worries over global economic growth. [.BO]
(Reporting by Yagnoseni Das and Chris Thomas in Bengaluru)
