Clean Max, a renewable energy company in India, falls 16% on its first day of trading.
Clean Max - Enviro Energy Solutions shares fell 16% on Monday in their 'trading debut', valuing the company at 103.32 billion rupies ($1.13 billion). Weak retail demand weighed down India’s largest IPO this year.
The stock was listed at 960?rupees at the National Stock Exchange (NSE), and last traded at 882 rupees at 10.22 am IST. This is below its original issue price of 1053?rupees.
The Brookfield-backed firm's public offering comes at a time when the?primary markets in India are subdued. Only?two? of eight? IPOs this year have been able to list above their initial price.
India's Nifty 50 index was also down by 1.24% Monday, as the Middle East conflict weakened global risk appetite. Clean Max's retail portion was only subscribed by?6% on the final bid day last week, making it one of retail investors' lowest-subscribed IPOs in recent years. In its $341 million IPO, the power producer, which supplies renewable energy in India to clients such as Amazon and Google, issued shares valued at a total of 123.3 billion rupees.
(source: Reuters)
