ESDS Software shares hit 10% upper circuit for 5th day in a row; stock gains 300% from IPO price

ESDS Software Solutions Ltd shares hit their 10 per cent upper circuit for the fifth straight session on Friday, extending its sharp rally in the stock's first week of listing. The multibagger stock has delivered a gain of nearly 300 per cent from its IPO issue price of Rs 429.

The ESDS Software stock hit its 10 per cent upper circuit at Rs 1,716.35 on BSE, against its previous closing price of Rs 1,560.35. At Friday's upper circuit, the stock was up 88.94 per cent from its September 4 closing price of Rs 908.40.

ESDS Software Solutions said, "the Company is not aware of any specific reason for the significant movement in the price of its security. The equity shares of the Company were listed on the Stock Exchanges on September 04. Such movement is purely market driven and may be attributable to a
combination of factors, including prevailing market conditions."

"The movement in the price and volume of the security is consistent with trading activity typically observed in a newly listed security," ESDS said.

The company also said its management was in no way connected with the movement in the share price.

ESDS Software Solutions was listed on the stock exchanges on September 4 after its IPO, which was priced in the range of Rs 408-429 per share. The company raised Rs 720 crore through the issue.

The stock made a strong debut, listing at Rs 757 on NSE, a premium of 76.46 per cent over the issue price. On BSE, it listed at Rs 746.30, marking a premium of 73.95 per cent.

IPO details

The IPO, which ran from August 28 to September 1, was subscribed 135.88 times overall, with bids worth around Rs 72,000 crore. The portion reserved for qualified institutional bidders was subscribed 261.51 times, while the non-institutional portion was subscribed 192.95 times and the retail portion 39.64 times.

About ESDS Software Solutions

Incorporated in August 2005, Nashik-based ESDS Software Solutions is an AI-enabled provider of cloud, managed services, data centre infrastructure and software solutions in India. The company offers an end-to-end portfolio comprising Infrastructure-as-a-Service, managed services and Software-as-a-Service, serving customers across BFSI, government and enterprise segments.