Esconet Technologies shares: SME stock debuts with 245% premium on NSE

Shares of Esconet Technologies Ltd made a blockbuster debut at Dalal Street on Friday as the MSME counter listed at Rs 290 apiece, a premium of 245 per cent over its issue price of Rs 84 per share. The stock is listed at the emerging platform of the National Stock Exchange (NSE).

The listing has been on a better note than expected, if one considers the signal given by the premium grey market. Ahead of its listing Esconet Technologies was commanding a grey market premium of Rs 100 per share over its issue price of Rs 84, suggesting a listing pop of about 120 per cent to the investors.

Esconet Technologies raised a total of Rs 28.22 crore via its IPO, which was open for bidding between February 16 and February 20. The company sold fresh 33,60,000 equity shares in the fixed price band of Rs 80-84 with a lot size of 1600 equity shares, without any offer-for-sale component.

Each lot of Esconet Technologies cost Rs 1,34,400 at the offer price and turned to Rs 4,64,000 on debut, delivering a solid listing gains of Rs 3,29,600 to the investors who received the allotment. The issue was overall subscribed a whopping 507.24 times, with NIIs and retail portion getting 868 times and 553 times subscription, respectively. QIB portion was booked 156.02 times.

Esconet Technologies provides high-end supercomputing solutions, and data center facilities that include storage servers, network security, virtualization, and data protection. Its clientele include the Ministry of Defence, Ministry of Electronics and Information Technology, Indian Institute of Technology, Bharat Electronics Limited, Oil & Natural Gas Commission, Engineers India and more.

Founded in 2012, Esconet offers servers and graphics workstations, comprehensive data storage solutions, virtualization software, backup and disaster recovery solutions, data centre and access networks, advanced software defined networks, network security tools, email communication systems, databases with high availability, and log management and analytics software.

Corporate Capitalventures was the sole book running lead manager of the Esconet Technologies IPO, while Skyline Financial Services served as the registrar for the issue. The market maker for Esconet Technologies IPO is SS Corporate Securities.
 

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