The Life Insurance Corporation's share has disappointed investors. The IPO was subscribed by a large number of people but it failed to give any returns despite the hype and high price. However, many times an underdog performs splendidly well on the stock market. Here's the story of the Kotyark Industries IPO, which has given its investors around 470 per cent profit. The share was issued on October 21 and was listed on the exchange in November. The initial price of the share was Rs 51, now it is Rs 291.
The company had proposed listing in order to generate Rs 11.26 crore from the market. The share was subscribed 7.15 times. The company had permitted one buyer to buy shares in one lot. It capped the investment per buyer at Rs 1.02 lakh.
Despite a weak market, this biodiesel stock performed well last Friday. While BSE Sensex plummeted by a thousand points, this company's stocks registered a whopping seven percent growth.
Those who have invested Rs 1.02 lakh in the company, the value of their shares would have been close to Rs six lakhs.
