Sagility India IPO Gets Weak Debut Amid Volatile Market
During its subscription window, Sagility India IPO closes with a total subscription of 3.22 times totalling to Rs 3,719 crore
The initial public offering (IPO) of Sagility India made a lackluster debut on the exchanges in the Tuesday trading session. The issue listed with a premium of merely 3.5 per cent at Rs 31.06 on the National Stock Exchange (NSE) against its issue price of Rs 30.
The Rs 2,106 crore IPO consisted exclusively of an offer-for-sale (OFS) component with the price band fixed at Rs 28 to 30 per equity share.
During its subscription window, Sagility India IPO closed with a total subscription of 3.22 times totalling to Rs 3,719 crore. The retail category got oversubscribed with more than 4 times subscription, totalling Rs 874 crore till the final day. Notably, the qualified institutions category remained muted and subscribed only 3.5 times with subscription totalling to Rs 2,216 crore.
Jefferies India, ICICI Securities, Iifl Securities and J.P Morgan India were the book running lead managers, while Link Intime was the registrar to the offer.
IPO Objectives
Since the issue consisted exclusively of OFS component, the firm will not receive any proceeds to utilise towards funding capital expenditure requirements for purchase of construction equipment and general corporate purposes.
However, the firm will get benefits on listing in the public market which will enhance the brand’s visibility and provide liquidity to the shareholders.
Firm’s Financials
Sagility India registered a revenue of Rs 4,781 crore in FY 23-24 against Rs 4,236 crore in FY 22-23.
While, the profit after tax (PAT) increased to Rs 228 crore in FY 24 against Rs 143 crore in FY 23.
Overall, the revenue increased by 13 per cent, whereas PAT climbed 59 per cent between FY 23 and FY 24.
