In what can be deemed a litmus period for Bajaj Housing Finance Ltd. on the equity market. The company shares that have experienced some fluctuations recently saw it slump in the intraday trade on Monday, October 14. The slump was in excess of 5 per cent.
Lock-In Period Ends
This came to pass on the day when the company saw its 1-month lock-in period expire.
A lock-in period in the world of trading is deployed to stabilise newly listed company stocks. Here employees, insiders of the entity in question, along with early investors, are prohibited from selling or trading their shares on the open market during the lock-in period.
This, as mentioned before, helps to stabilise the stock price by preventing a large influx of shares from entering the market immediately after such events, which could lead to volatility.
Company's Bumper Listing
As the market looks at an earning season, with anticipation around the corner, the possibility of greater vacillations cannot be ruled out.
The Bajaj Housing shares, which were listed on the market on September 16, at Rs 150 a piece BSE, thereby doubling the investor's money, as there a premium of 114.29 per cent to the issue price of Rs 70 per share.
The company IPO had a lot size of 214, with a minimum investment range of Rs 66-70. Atul Jain is serving as the company's managing director.
Bajaj Shares In Red
Over the past, the company shares have seen a decline of 13.97 per cent. And, on Monday, October 14, the company shares witnessed a steady decline. After opening at Rs 150.88 per share, there has been dip in the prospects of Bajaj Housing Finance shares.
After reaching the halfway mark, at 12:44 IST, the company shares dropped by 5.89 per cent or Rs 8.89. This plunged the overall value of shares to Rs 141.99.
