Essar Energy begins formal trading on London Stock Exchange

RESOURCE MOBILISATION: Essar Energy Chairman Ravi Ruia shakes hands with London Stock Exchange Chairman Chris Gibson-Smith after the official listing of the company on the exchange in London on Friday. Lord Mayor of the City of London Nick Anstee (right) and Essar Energy Vice Chairman Prasant Ruia (third from left) are also seen.

The shares of Essar Energy Plc, a part of the diversified Essar Group, on Friday began formally trading on the London Stock Exchange, after its 1.3-billion pound public offer, the biggest here since December 2007.

The Essar Energy shares were trading at 386.50 pence in the afternoon session on the LSE, down 2.40 per cent, much lower than the IPO price of 420 pence per piece on a day when the LSE index opened nearly one per cent down. Essar Energy started conditional trading on the exchange on May 4.

Essar Energy Chairman Ravi Ruia, Vice-Chairman Prashant Ruia and LSE Chairman Chris Gibson-Smith, among others, were present at the opening trading ceremony here.

“The company has raised 1.3 billion pound through its premium listing, making it the largest ever Indian IPO on the LSE and the second largest Indian IPO on a public market anywhere in the world,” the LSE said in a statement.