Deepak Builders Share Price: In a much-anticipated listing, shares of Deepak Builders & Engineers India Limited debuted on the stock market today at a price of ₹200, reflecting a 1.5% discount from its initial public offering (IPO) price of ₹203. This underwhelming start comes despite strong investor demand during the IPO phase, which saw bids for 37.24 crore equity shares, translating to a staggering subscription rate of 41.54 times the offer size.

The listing was significantly below expectations set by the grey market premium (GMP), where the shares had been trading at a premium of around 16% prior to their market debut. On the Bombay Stock Exchange (BSE), the shares opened at ₹198.50, indicating a discount of 2.2%. At approximately 10:08 AM, the stock plummeted further, trading down 14.3% at ₹173.80 on the BSE.

Robust Demand Amid Market Weakness

Despite the broader weakness in equity markets, the enthusiasm for Deepak Builders was evident. Non-Institutional Investors (NIIs) led the charge, subscribing 82.47 times their allotted quota, while retail investors followed closely behind at 39.79 times their share of the offer. Qualified Institutional Buyers (QIBs) also showed robust interest, subscribing to 13.91 times their allocation.

Deepak Builders had initially set a price band of ₹152-160 per share for the IPO, which included a fresh issue of 10.7 million shares valued at approximately ₹217.21 crore and an offer for sale of 2.11 million shares, adding an additional ₹42.83 crore to the offering.

Company Overview and Future Plans

Established in 2017, Deepak Builders & Engineers specializes in constructing a wide range of projects, including administrative buildings, healthcare facilities, industrial structures, and residential complexes. The company plans to utilize the IPO proceeds to repay debts, fund working capital, and cover general corporate expenses.

As investors and analysts continue to monitor Deepak Builders’ market performance, the subdued debut raises questions about future growth and stability within the construction sector amid fluctuating market conditions. For now, potential investors may be cautious as they weigh the company’s fundamentals against its initial market reception.