Skyways Air Services shares fall on weak stock market debut

Shares of Skyways Air Services Ltd experienced a weak debut on Indian stock exchanges on Tuesday, listing below their initial public offering (IPO) price. On the NSE, the stock opened at Rs 124, a decline of approximately 10 percent from the issue price of Rs 138. On the BSE, it opened at Rs 124.50. The stock faced further selling pressure in early trading, hitting intraday lows of Rs 119.

The Rs 582.8-crore IPO had seen significant demand during the bidding period, with subscription levels reaching approximately 71 times. However, the listing was impacted by broader market weakness in India, driven by rising crude oil prices, geopolitical tensions, and higher global bond yields.

Company disclosures in the offer documents revealed an ongoing investigation by the Economic Offences Wing (EOW) in Delhi involving Skyways Air Services and its subsidiary, Brace Port Logistics Ltd. The investigation follows allegations of fraud, forgery, and over-invoicing related to a complaint by UK-based PG Paper Company Ltd. Additionally, the company noted that its Authorised Economic Operator-LO status has been suspended pending the outcome of investigations.