Barak Valley Cements settled at Rs 56.05 on BSE, a 33.45% premium compared to IPO price of Rs 42.

The counter saw volume of 84.73 lakh shares on BSE.

The stock debuted at Rs 65, a 54.76% premium over IPO price of Rs 42. It hit high of Rs 72 and low of Rs 53.10 during the day.

At the current price of Rs 56.05, the PE multiple works out to 9.34, based on the year ended March 2007 EPS of Rs 6.

The Barak Valley Cements IPO had ended on 1 November 2007 with 29.15 times subscription. The qualified institutional buyers (QIBs) category was subscribed 24.17 times. The non institutional investors category, made up of corporates and high-net individuals, was subscribed 25.50 times. The retail investors category was category was subscribed 39.47 times.

The company had priced its IPO at the top end of the Rs 37 to Rs 42 price band

Barak Valley Cements manufactures various grades of ordinary portland cement and portland pozzolana cement, and its main market is the north-eastern region of India. The current cement manufacturing capacity of the company, including its wholly owned subsidiaries is 760 tonnes per day (tpd) which will increase to 1,050 tpd post expansion.

The company plans to use the IPO proceeds to part finance expansion of clinkerisation capacity from present 420 tonne per day (tpd) to 600 tpd; cement grinding capacity from 460 tpd to 750 tpd; invest in wholly owned subsidiary Badarpur Energy; set up 6 mega watt biomass based power project; and to meet the working capital requirements.

The company posted 24.20% rise in net profit to Rs 14.31 crore on 39.90% growth in net sales to Rs 73.78 crore in the year ended March 2007 over the year ended March 2006.

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