iValue InfoSolutions IPO: A Deep Dive into Its Market Journey and Subscription Success

The much-anticipated initial public offering (IPO) of iValue InfoSolutions concluded its bidding period on a high note, achieving full subscription across all investor categories on its final day. This robust demand underscores a significant level of investor confidence in the digital transformation and cybersecurity solutions provider.

However, the excitement was tempered slightly by a noticeable decline in the Grey Market Premium (GMP), adding a layer of intrigue to its market debut.

By the close of bidding, the IPO was subscribed a remarkable 4.36 times. This strong performance was primarily fueled by Qualified Institutional Buyers (QIBs), whose portion saw an overwhelming 8.44 times subscription, indicating strong institutional interest.

Non-Institutional Investors (NIIs) also showed significant enthusiasm, subscribing to their allocated shares 4.39 times over. Retail investors, the backbone of many successful IPOs, participated actively, with their portion being subscribed 3.02 times. This balanced demand across all segments paints a picture of broad market acceptance.

While the subscription figures were impressive, the Grey Market Premium (GMP) for iValue InfoSolutions saw a significant dip.

Starting at a healthy Rs 28, the GMP fell to Rs 20, translating to a potential listing gain of approximately 8.7% over the upper price band of Rs 235. This decline, while not alarming, suggests a recalibration of market expectations regarding its immediate post-listing performance.

The IPO, which ran from November 21 to November 24, offered shares in a price band of Rs 220-235 per equity share.

Investors could bid for a minimum of 63 shares, with the issue size totaling Rs 216 crore, comprising an offer for sale (OFS) of 3,740,100 equity shares by existing shareholders and a fresh issue of 1,573,191 equity shares. The fresh issue aimed to raise Rs 36.60 crore, earmarked for crucial purposes: funding working capital requirements for its subsidiaries and general corporate needs.

iValue InfoSolutions stands as a prominent player in the digital transformation and cybersecurity landscape, offering a comprehensive suite of solutions that include data center, cloud, and network services.

Its focus on enabling secure and efficient digital environments has resonated well with clients. The company’s financial health and strategic objectives clearly captivated a wide range of investors, leading to its successful subscription.

The eagerly awaited share allotment is expected to be finalized on November 29, 2023.

Following this, the shares are slated for listing on both the BSE and NSE on December 4, 2023. Monarch Networth Capital Limited and Keynote Financial Services Limited served as the book-running lead managers for the issue, with Link Intime India Private Ltd acting as the registrar. All eyes will now be on December 4 to see how iValue InfoSolutions performs on its official market debut.