Shares of Sapphire Foods India Ltd, which operates KFC and Pizza Hut outlets, on Thursday listed with a premium of over 14 per cent against its issue price of ₹1,180.

However, the sentiment for the stock turned weak, as another IPO Paytm fared poorly.

The stock opened at ₹1,311, registering a jump of 11.10 per cent from the issue price on the BSE and surged 17.25 per cent to ₹1,383.60 during the day. However, it closed at ₹1,216.05, up 3.05 per cent over IPO price. On the NSE, Sapphire Foods, after listing at ₹1,350, gained 14.40 per cent, but settled with a 4 per cent gain of ₹1,227.70.

The initial public offering of Sapphire Foods India was subscribed 6.62 times. Santosh Meena, Head of Research, Swastika Investmart Ltd, “Sapphire food is a loss-making company. However, we have seen successful companies in the market from similar spaces. If we talk about the valuations then it is coming out with 7xFY21 sales, while recently-listed Devyani International is trading at 14xFY21 therefore it is coming out with attractive valuations compared to its peers and it has strong brand names under its umbrella”.

Ahead of its IPO, Sapphire Foods India had raised ₹933 crore from a clutch of anchor investors.