The shares of SBI Cards and Payment Services listed at Rs 661 on Monday, 12.45 per cent below its issue price of Rs 755, as the uncertainty regarding the fallout of coronavirus epidemic continued to keep investor sentiment in check.
The Nifty 50 closed 758 points or 7.6 per cent lower at 9,197. On the BSE Ltd, SBI Cards opened at Rs 658, 13 per cent lower against issue price, and eventually ended at Rs 683 apiece.
The stock saw a weak debut due to prevailing market conditions as the uncertainty regarding the effect of the coronavirus epidemic continued to keep investor sentiment in check.
SBI Cards is the second-largest credit card issuer in India with over 18 per cent market share in terms of the number of credit cards. It also offers corporate cards and is the largest co-brand credit card issuer in the country.
Given its dominant position in the credit card market and strong parentage, SBI Cards is well placed to benefit from the rising trend of digital payments and e-commerce.