Disappointing listing of Fino Payments Bank shares, should it be kept or sold?


  • It was listed on NSE at Rs 544.35 and with an issue price of Rs 577 at a discount of 5.66 per cent.
  • The biggest concern of investors was whether their strategy for Fino Payments Bank should be a sell or a hold.
  • Many experts recommend holding these stocks for long term

Shares of Fino Payments Bank, promoted by Fino Petec, were listed on Friday. However, its listing was quite disappointing. It was listed on the National Stock Exchange (NSE) at Rs 544.35 with an issue price of Rs 577 at a discount of 5.66 per cent. It was listed on BSE with a discount of 5 per cent for Rs 548.

Investors were also worried after the disappointing listing. His biggest concern was whether his strategy for Fino Payments Bank should be a sell or a hold. However, experts were expecting a flat listing.

Vikas Jain, Senior Research Analyst, Reliance Securities, said the listing was as expected, thanks to the valuation. All the small finance banks and payment banks have disappointed the investors. Jain said the valuations of private and public sector banks are very good. Investors should consider investing in banks that have made a good recovery with recent highs.

The IPO of Fino Payment Bank opened for subscription on October 29 and had a deadline of November 2. The stock has not seen any movement in the gray market since the announcement of the issue.

Ajit Mishra, Vice President, Religare Broking said that Fino Payments Bank is facing challenges of overvaluation and profitability. However, in the long run, it shows positives. The listing doesn’t need much attention. Investors who are thinking for a long time can keep it for long term. In addition, long-term purchases can be made.

The bank has raised Rs 1,200.29 crore through IPO. Its issue price was Rs 560-577 per share. Whereas bids were made for 25 shares.

Vishal Balabhadruni, BFSI analyst at CapitalVea Global Research, says short-term investors should opt out if there is a good profit margin at the time of listing. So that they can save their investment.

The issue of Fino Payment Bang received a cool response from investors from the very beginning. It was filled only 2.03 times. Saurabh Joshi, Research Analyst, Marwari Shares and Finance, said the listing did not meet expectations. He also asked investors to hold on to the long term. “It is a growing fintech company with a wide range of financial products,” he said.

Parth Nyati, Founder, Tradingo said, “Aggressive investors can buy at 10-20 per cent downside for the long term. Notably, Fino Payments is a specialized bank that provides services at reasonable rates.

Disclaimer: The above information is for information only. Its purpose is not to advise you to buy or sell any shares. Be sure to consult your financial advisor before making any investment.

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