Query regarding IPO listing

How does the share price increase after getting listed in the stock market?

e.g IPO issue price for some stock is let say 100 Rs but when it gets listed its price is 150 Rs
How did 50 Rs increase when it got listed?

The listing price of the IPO is determined by Demand and Supply, if there is more demand and less supply then the shares of that company will list at premium to issue price and if there is less demand and more supply the listing can happen at lower price to the issue price.


An example from not long ago, of IPO listing at below issue price:-

P.S. Every investment is subject to market risk.


Who decides the listing price?

As I said above listing price is discovered during the pre-open session which takes place from 9 AM to 9:45 AM on listing day, the price is determined based on Supply and Demand. The process is similar to the regular pre-market session which we have from 9 AM to 9:08 AM, you can know more about the process here.