Mumbai: Shares of KFin Technologies made a lacklustre debut on the bourses on Thursday, as they got listed at Rs 369 on BSE, at par to the issue price of Rs 366. On NSE, the stock got listed at Rs 367, up 0.27% over the issue price.
A day before the listing, shares of the company were trading at a discount to the issue price in the grey or unofficial market.
The IPO was priced in the range of Rs 347-366 apiece.
Incorporated in 2017, KFin Technologies is a leading technology-driven financial services platform providing comprehensive services and solutions to the capital markets ecosystem.
It provides several investor solutions including transaction origination and processing for mutual funds and private retirement schemes in Malaysia, the Philippines and Hong Kong.
The Rs 1,500-crore IPO of KFin Technologies was subscribed 2.59 times at the end of the three-day bidding process. The portion reserved for qualified institutional buyers was subscribed 4.17 times, while retail investors bid for 1.36 times the shares set aside for them. Only 23% of the non-institutional investors’ portion was subscribed.
The issue was entirely an offer for sale (OFS) of about 4.1 crore shares by the promoters and existing shareholders.
Brokerages had mixed views on the issue. A few suggested it is a long-term player citing its strong position in the duopoly market, whereas others suggest keeping off the issue, citing rich valuations and complete OFS status.
In terms of valuations, the post-issue P/E works out to 41.3x FY22 EPS for KFin Technologies, which is more than its listed peer Computer Age Management. Both the companies have similar operating margin profile, however, CAMS has better net profit margins, Angel One has said in its report.
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