InvestorQ : How do you expect the listing of Mazagon Docks and UTI AMC IPOs, that are scheduled to list on Monday 12 October?
Ria Jain made post

How do you expect the listing of Mazagon Docks and UTI AMC IPOs, that are scheduled to list on Monday 12 October?

Answer
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Dia Deshpande answered.
1 week ago


There are two ways to look at the likely listing of the two stocks that are expected to be listed on the bourses on 12 October. One is through the grey market pricing route and other is through the oversubscription route. On both counts, Mazagon promises to be a much better listing performer on Monday.

While the grey market IPO price of Mazagon is at around 80% premium to the issue price, the IPO of UTI AMC is trading at a discount of 5-7% to the issue price. It may be recollected that while Mazagon got oversubscribed more than 150 times, UTI was oversubscribed just about 2.5 times.

Also in terms of pricing, investors feel a lot more comfortable with a PSU defence company at a P/E ratio of just above 6 and having an order book position of Rs.50,000 crore plus. UTI comes with the baggage of being in the financial sector and having group level problems.