Virtual Galaxy Infotech's IPO to open on May 9; check price band, other key details

Virtual Galaxy Infotech Ltd (VGIL) is set to launch its initial public offering (IPO) on May 9, 2025, aiming to raise Rs 93.29 crore. The IPO will close on May 14, 2025, with the price band set between Rs 135 and Rs 142 per share. 

VGIL, in a release, said, has reserved 18,40,000 shares for anchor investors, and the lot size for the offering is 1,000 equity shares, with a face value of Rs 10 each. The company plans to list on the NSE Emerge platform.

The proceeds from the IPO will be utilised for various purposes, including Rs 34.27 crore allocated for capital expenditure to establish a new development facility in Nagpur. Additionally, Rs 3 crore will go towards the repayment or prepayment of certain borrowings. The remaining funds will support further enhancements, maintenance, and marketing activities. Smart Horizon Capital Advisors Private Limited is the book running lead manager for the issue.

VGIL, founded in 1997, is a prominent provider of hybrid SaaS and enterprise software solutions, specialising in the BFSI sector. The company offers an extensive software portfolio, including products like E-Banker, IBS-ERP, E-APMC, E-Autopsy, and V-Pay. With over 26 years of experience, VGIL caters to clients across more than 15 states in India, and has expanded internationally to countries like Tanzania and Malawi in Africa.

Financially, VGIL recorded a revenue of Rs 101.24 crore and a profit after tax (PAT) of Rs 27.41 crore in the first nine months of the fiscal year 2024-25. This marks a significant increase from their previous fiscal year, which saw a revenue of Rs 61.46 crore and a PAT of Rs 16.3 crore. The company previously raised Rs 21.44 crore in a pre-IPO funding round in July 2024 from prominent investors.

The IPO's subscription details reveal allocations of 12,44,000 shares for qualified institutional buyers (QIBs) and 22,00,000 shares for retail individual investors (RIIs). The anchor portion will open on May 8, 2025. The lead managers anticipate strong investor interest, given VGIL's solid market position and growth trajectory.