Mumbai, Jan. 6: Punj Lloyd today made a strong debut on the bourses with its shares gaining 51 per cent over the issue price.

The scrip closed at Rs 1,057.80 on the BSE, a surge of 51.11 per cent over its offer price of Rs 700 per share.

Punj Lloyd, which was the top-traded share today, opened at Rs 989, a 41 per cent gain over its issue price. It rose to an intra-day high of Rs 1,079. Close to 46.55 lakh shares changed hands, resulting in a turnover of Rs 486.30 crore.

The debut performance made Punj Lloyd the country’s second largest construction company in terms of market capitalisation after Larsen & Toubro Ltd (L&T).

Brokers said buying in the scrip came amid optimism regarding its businesses in a fast-growing economy. Moreover, Punj Lloyd is also looking at opportunities in other countries, particularly those in West Asia.

Punj Lloyd also informed the bourses that the company has been granted a letter of intent by the Road Infrastructure Development Company of Rajasthan Ltd for the construction of roads from Hanumangarh to Ratangarh for a consideration of Rs 271 crore. It has also received orders to construct roads from Ratangarh to Kishangarh for Rs 227 crore and Baran to Jhalawar for Rs 95 crore.