<p>HP Adhesives made a strong debut on the bourses on Monday, becoming the latest to join the IPO party in Asia’s third-largest economy.<br /><br />Shares of the Mumbai-based adhesive maker listed on the Bombay Stock Exchange at Rs 319, representing a 16% premium versus the issue price of Rs 274. On the National Stock Exchange, its shares debuted at Rs 315, representing a 14.96% premium to the offer price.<br /><br />"There is a potential for the company to grow in the upcoming years,” said Swastika Investments's Head of Research Santosh Meena. “The investors who got allotment are advised to keep the stop loss of Rs 300 while new investors can consider Pidilite over HP adhesive because Pidilite has a long operating history and is the market leader in its field."<br /><br />A stop-loss order is an order placed with a broker to buy or sell a specific stock once it reaches a certain price.<br /><br />“The issue has witnessed strong investor response and was oversubscribed majorly due to the size of the issue (being small comparatively) despite higher valuations", Likhita Chepa, Senior Research Analyst at CapitalVia Global Research, said, adding that “some correction in prices is expected in the coming weeks”.<br /><br />HP Adhesives plans to use the proceeds from its initial public offering for its working capital needs and capacity expansion. It is the latest company to go public in what has been a strong year for the primary markets. The HP Adhesives IPO was subscribed 21 times on the back of solid individual investors’ subscription.<br /><br />As of June 30, 2021, it had four depots and more than 750 distributors who cater to over 50,000 dealers across India, according to its draft IPO papers.</p>.<p><strong>Check out the latest DH videos here:</strong><em><strong></strong></em></p>
<p>HP Adhesives made a strong debut on the bourses on Monday, becoming the latest to join the IPO party in Asia’s third-largest economy.<br /><br />Shares of the Mumbai-based adhesive maker listed on the Bombay Stock Exchange at Rs 319, representing a 16% premium versus the issue price of Rs 274. On the National Stock Exchange, its shares debuted at Rs 315, representing a 14.96% premium to the offer price.<br /><br />"There is a potential for the company to grow in the upcoming years,” said Swastika Investments's Head of Research Santosh Meena. “The investors who got allotment are advised to keep the stop loss of Rs 300 while new investors can consider Pidilite over HP adhesive because Pidilite has a long operating history and is the market leader in its field."<br /><br />A stop-loss order is an order placed with a broker to buy or sell a specific stock once it reaches a certain price.<br /><br />“The issue has witnessed strong investor response and was oversubscribed majorly due to the size of the issue (being small comparatively) despite higher valuations", Likhita Chepa, Senior Research Analyst at CapitalVia Global Research, said, adding that “some correction in prices is expected in the coming weeks”.<br /><br />HP Adhesives plans to use the proceeds from its initial public offering for its working capital needs and capacity expansion. It is the latest company to go public in what has been a strong year for the primary markets. The HP Adhesives IPO was subscribed 21 times on the back of solid individual investors’ subscription.<br /><br />As of June 30, 2021, it had four depots and more than 750 distributors who cater to over 50,000 dealers across India, according to its draft IPO papers.</p>.<p><strong>Check out the latest DH videos here:</strong><em><strong></strong></em></p>
