January 30, 2023
New Delhi, India
Euphoria Infotech IPO
Euphoria Infotech, a Kolkata-based IT and ITes solution provider, witnessed a robust market entry on the BSE SME platform, listing its shares at ₹190, boasting a remarkable 90% premium over the issue price of ₹100.
Investor Enthusiasm:
Investors, guided by grey market premiums, had high expectations, evident in the ₹85 premium, projecting a ₹185 listing, an impressive 85% over the issue price. The grey market premium steadily rose from ₹60 at the IPO‘s outset to ₹80 by day-3.
IPO Subscription Frenzy:
The IPO, a fresh issue of 960,000 equity shares, garnered overwhelming interest, with a subscription rate of 383.86 times. Notably, retail investors subscribed 426.65 times, QIBs 413.26 times, and NIIs 280.88 times.
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Fund Utilization and Structure:
Euphoria Infotech’s IPO, valued at ₹9.60 crores, aimed at raising capital for the company’s growth. The allocation included 619,200 shares for retail, 27,600 for QIBs, and 265,200 for NIIs.
Price Band and Timeline:
With a price band of ₹96 to ₹100 per share, the IPO opened on January 19, 2024, closing on January 24, 2024. The strong debut reflects positive market sentiment, and the funds raised will fuel Euphoria Infotech’s expansion.
Investment Details:
Investors faced a minimum lot size of 1200 shares, requiring a ₹120,000 investment. HNIs, with a minimum lot size of 2 (2,400 shares), invested ₹240,000. QIBs and NIIs had maximum bid quantities of 912,000 and 884,400 shares, respectively.
Conclusion:
Euphoria Infotech’s successful BSE SME debut, driven by robust subscription rates and a substantial premium, showcases investor confidence in the company’s potential. The positive market response positions Euphoria Infotech for future growth and opportunities.
