Mumbai: Shares of 5Paisa Capital Ltd, the demerged entity of IIFL Holdings Ltd, made a weak debut on stock exchanges on Thursday. The company was listed at Rs650 on the BSE and soon hit 5% lower circuit.
On the National Stock Exchange, it was trading at Rs380 per share, while on the BSE, it was trading at Rs617.50 a share. Its parent company IIFL Holdings was at Rs595.05 a share on BSE, up 2% from its previous close.
At 10.05am, the Sensex was at 32,899.71, up 0.46%, while the Nifty was up 0.33% to 10,151.70 points.
Last year, 5Paisa Digital Undertaking was spun off from IIFL Holdings as 5Paisa Capital. All shareholders of IIFL received one share of Rs10 each of 5Paisa for every 25 IIFL shares held.
5Paisa is a discount online broking firm which offers a platform for buying stocks, derivatives, mutual funds, insurance and personal loans. It is among the early entrants into the online discount broking space and competes with Zerodha, RKSV, Samco Sec, SAS online, Trade Smart Online and policybazaar.com.
The company targets the do-it-yourself (DIY) customer segment, which prefers minimum cost for various financial products. It has a robo-advisory platform that addresses all the financial needs of an individual and helps plan buying mutual funds and insurance (life, health and motor) along with low-cost broking in equity.