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Key Points

NSDL shares continued their strong run, rising 20% on the second day post-listing. The IPO was oversubscribed 41 times, driven by heavy institutional interest. Meanwhile, Laxmi Finance staged a sharp recovery after a weak debut, gaining nearly 20%. Both companies highlight contrasting IPO performances amid strong market sentiment.

Key Points: NSDL Shares Surge 20% Post Listing as Laxmi Finance Rebounds Strongly

  • NSDL IPO subscribed 41x with QIBs leading at 104x
  • Laxmi Finance rebounds 20% after 14% discount listing
  • NSDL operates in duopoly with CDSL, high entry barriers
  • Laxmi Finance expands net worth to Rs 257 crore in FY25
2 min read

NSDL shares jump 20 pc on second day post-listing, Laxmi Finance sees strong rally

NSDL shares jump 28% from debut price while Laxmi Finance rallies 20% after weak listing. Both IPOs saw strong investor interest.

"Analysts recommend long-term exposure to NSDL due to steady revenue streams and market leadership. – Market Experts"

Mumbai, Aug 7

National Securities Depository Ltd (NSDL) shares extended their gain on Thursday and rose 20 per cent at the closing bell. The shares of the company are now around 28 per cent higher than their debut price.

NSDL debuted in the stock market on Thursday, at a 10 per cent premium above the issue price of Rs 800. The listing premium was lower than grey market estimates of 16 per cent.

The Rs 4,012 crore IPO saw strong participation from all investor categories. The overall issue was subscribed 41.02 times. Qualified Institutional Buyers (QIBs) led the subscription, oversubscribing 103.97 times, followed by Non-Institutional Investors (NIIs) at 34.98 times and retail investors at 7.76 times.

Analysts recommend investors consider long-term exposure to NDSL shares due to its steady revenue streams and market leadership. It operates in a duopoly with the CDSL in a business with high entry barriers for new competitors.

Its rival Central Depository Services (India) Limited (CDSL) fell 2.35 per cent in the stock market on Wednesday but rose 1.18 per cent on Thursday.

Meanwhile, Laxmi India Finance's shares gained 19.98 per cent on Thursday to trade at Rs 148.05 apiece, after a weak debut on the stock market, listing at a discount of 14 per cent.

The listing price fell below the grey market premium (GMP) expectations of 2 per cent. The IPO was oversubscribed 1.86 times, with retail participation at 2.20 times.

Based in Rajasthan, Laxmi India Finance is a non-deposit-taking NBFC that provides customised financial solutions to underserved customer segments across the country.

It operates 158 branches in rural, semi-urban, and urban areas of Rajasthan, Gujarat, Madhya Pradesh, Chhattisgarh, and Uttar Pradesh. The company has the highest number of branches among its peers in Rajasthan and offers MSME, vehicle, and construction loans.

Over the last two financial years, Laxmi India Finance has shown steady growth. Its net worth increased from Rs 152 crore in FY23 to Rs 257 crore in FY25, while revenues nearly doubled from Rs 129.5 crore to Rs 245.7 crore during the same period.

- IANS

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Reader Comments

S
Shreya B
Laxmi Finance's rally is interesting but I'm skeptical. Rural NBFCs have higher NPA risks. The 19% jump seems more like market correction after the weak listing rather than fundamentals. Would wait for quarterly results before investing.
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Arjun K
Both these IPOs show how retail investors are getting smarter now. NSDL's 41x subscription tells the story! Though I feel SEBI should cap institutional bids to give small investors better allocation.
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Priya S
Got allotted 15 NSDL shares in IPO! Feeling like a queen today 😂 This is why I always apply in good fundamental companies, even if grey market premium is lower than expected. Long term wealth creation!
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Vikram M
Media is focusing too much on listing gains. Real test for these companies begins now. NSDL needs to show how it will maintain growth with increasing digitalization and competition from CDSL.
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Kavya N
Laxmi Finance's focus on rural areas is commendable. Financial inclusion is crucial for our economy. But their loan book quality will be key - hope they maintain discipline as they expand.

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