Business · India Bureau
NIACL, IFCI shares tumble on profit-taking as NSE IPO momentum fades
Shares of New India Assurance Company Limited and IFCI Limited declined sharply on Tuesday, with investors booking profits amid a weakening grey market premium for the National Stock Exchange's initial public offering.
LSN India ·
Equity markets saw selling pressure in financial sector stocks on Tuesday as profit-taking gripped New India Assurance Company Limited and IFCI Limited. Both stocks registered declines of up to 14 per cent during intraday trading, signalling investor caution in the broader financial services space.
The sell-off came as the grey market premium for the National Stock Exchange's upcoming IPO softened to ₹225, down from earlier levels. The dip in NSE's grey market pricing appears to have dampened sentiment across the financial sector, prompting investors to realize gains from recent rallies in banking and insurance counters.
New India Assurance, a leading general insurance player, and IFCI, the state-owned development finance institution, both saw sustained selling interest throughout the session. Analysts attributed the pressure to a combination of profit-taking after recent gains and broader caution surrounding the NSE listing timeline.
The NSE IPO, one of India's most anticipated share offerings in recent months, has maintained significant grey market interest despite Tuesday's moderation in the premium. Market participants remained focused on the final pricing and listing date announcement expected in the coming weeks.