Negative stitch for Textured Jersey on debut

Wednesday, 10 August 2011 01:25 - - {{hitsCtrl.values.hits}}

Textured Jersey Lanka's debut yesterday was negative with the share price closing one rupee lower from its IPO price of Rs. 15.

Nearly 12 million shares of Textured Jersey changed hands via 2,154 trades for Rs. 165 million. It hit a high of Rs. 15 and low of Rs. 13.50 before closing at Rs. 14. It was the third successive stock to close below IPO price on debut with the first two being Softlogic and Browns Investments, all of which are fundamentally sound counters with high prospects.

The Rs. 1.2 billion worth IPO of Textured Jersey last month was oversubscribed by only three times.

Analysts opined that Textured Jersey, which more than doubled its first quarter profit to Rs. 144 million in first quarter of FY2012 over the corresponding period of last year, fell a victim of deteriorating sentiments in the market.