Divgi TorqTransfer System's stock trades in the red as 30-day lock-in period ends

Shares of Divgi TorqTransfer System declined nearly 1 per cent on NSE, as the lock-in period of 30 days for anchor investors ends today, April 10. Once the 30-day lock-in period ends, anchor investors are allowed to sell 50 per cent of their holdings.

At the time of writing this report, the stock declined 0.96 per cent or Rs 6.4 to Rs 658.25 apiece. On the BSE, the stock dipped 1.30 per cent to Rs 658.75 apiece.

What is a lock-in period?

The lock-in period, also known as the lock-up period, is the time period during which investments cannot be sold or redeemed. Lock-in periods are mostly for hedge funds, private equity IPOs, start-ups, and a few mutual funds.

The lock-in period is calculated from the date of allotment.

Divgi TorqTransfer IPO details

The shares of Divgi TorqTransfer were listed on NSE and BSE on March 14, 2023. The last date for IPO subscription was March 3, 2023.

The shares got listed at a premium of 5.08 per cent or at Rs 620 on NSE over the issue price of Rs 590. The Pune-based auto component manufacturer debuted flat at Rs 600 on BSE.

Divgi TorqTransfer Systems IPO consisted of both a fresh issue of equity shares worth Rs 180 crore and an offer-for-sale (OFS) of 39.34 lakh shares where promoters and other existing investors offload stake. The company had priced its IPO between Rs 560 and Rs 590 per share. The allotment of shares was done at Rs 590 per share, raising around Rs 412 crore.

About Divgi TorqTransfer

Incorporated in 1964, Digvi TorqTransfer Systems Ltd is engaged in the business as an automotive component entity. They are among the very few automotive component entities in India with the capability to develop and provide system-level transfer cases, torque couplers, and dual-clutch automatic transmission solutions.

Divgi TorqTransfer is one of the leading players supplying transfer case systems to automotive OEMs in India and the largest supplier of transfer case systems to passenger vehicle manufacturers in India.

Catch latest stock market updates here. For all other news related to business, politics, tech, sports and auto, visit Zeebiz.com.