Plaza Wires Share Price Surges by 5% and Gains 56% in Two Trading Sessions

Plaza Wires Share Price Surges by 5% and Gains 56% in Two Trading Sessions

VoM News Desk | October 13, 2023 | 05:16 PM IST | Breaking News | Follow on Google News

Plaza Wires Share Price Surges by 5% and Gains 56% in Two Trading Sessions

Plaza Wires Share Price Surges by 5% and Gains 56% in Two Trading Sessions

Plaza Wires share price locked in a 5% upper circuit, making it a 56% gain in just two trading sessions. The shares opened at ₹84.24 apiece on the BSE today.

On Thursday, Plaza Wires shares were listed at a premium on the bourses. They were listed for ₹76 on the NSE, a 40.7% premium to the issue price of ₹54, and at ₹84 on the BSE, a 55.6% premium.

Analysts attribute the company’s strong performance to a robust order book, a solid business plan, and favorable input costs, particularly for copper. The demand in the wires and cables sector is high, with companies operating at maximum capacity. Plaza Wires will face competition from established peers like Havells India and Polycab, so the order book and expansion in the coming quarters will be crucial for its success.

The Plaza Wires IPO, which opened for subscription from September 29 to October 5, was well-received by investors. It was oversubscribed by 62.75 times, indicating strong demand for the offering. The IPO was valued at ₹71.28 crores and consisted of a fresh issue of 13,200,158 equity shares with no offer for sale component. The net proceeds from the IPO will be used for various purposes, including capital expenditure for expanding manufacturing facilities and working capital needs.

VoM News Desk

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