On expected lines, the issue of Metro Brands made a tepid debit listing at a price of Rs. 436 per share on the BSE, while on the NSE the stock listed at Rs. 437 as against the issue price of Rs. 500.
Even as the sentiments on the D-Street improved after 2-consecutive days of free-fall, Metro Brands GMP has fallen just ahead of its listing. On Tuesday, just a day prior to the listing, the issue demanded a discount of Rs. 60-70 apiece as per media reports, signalling weak debut. The IPO issue price of the shoe retailer had been fixed at Rs. 500.
There is a view that the steep valuations, rising Omicron cases and the dampend sentiment in the equity space weighed on the stock's grey market premium.
Amarjeet Maurya, AVP-Mid Caps, Angel One is quoted in a leading dailies report as saying, " a weak listing was likely due to the company already commanding higher valuation and fear of the new Covid variant". "However, we are positive on the stock for the long term on the back of its asset-light business, strong brands and wide range of products," he added. "Every dip in share prices provides buying opportunities to long-term investors."