ESDS Software Solution shares defy gravity; surge 200% in three sessions after stellar IPO debut
ADVERTISEMENT
Shares of ESDS Software Solution continued their spectacular run on the stock exchange, surging nearly 200% in just three trading sessions from its initial public offering (IPO) price, following a blockbuster stock market debut on September 4.
The ESDS shares hit a fresh high of ₹1,289.55 on the BSE on Tuesday, taking their gains to nearly 200% over the IPO price of ₹429 apiece, in an otherwise weak broader market. At the time of reporting, the newly listed shares were trading 16.78% higher at ₹1,255 on the BSE, with a market capitalisation of around ₹14,710 crore.
ESDS Software Solution had made a strong debut on September 4, with its shares listing at ₹757 on the exchanges, representing a 76.5% premium over the IPO price. The ESDS shares have since extended its gains sharply, defying the broader market trend and attracting strong investor interest.
IPO garners strong response
ESDS Software’s strong market debut came after its ₹720-crore IPO received overwhelming demand from investors. The issue was subscribed 135.88 times, with the institutional portion witnessing particularly strong interest. According to data available on the stock exchanges, the issue received bids for around 1.68 billion equity shares against 12.35 million shares on offer.
The qualified institutional buyers (QIB) portion was subscribed 261.51 times, while the non-institutional investor (NII) portion was subscribed 192.94 times. The retail portion was subscribed 39.64 times.
Ahead of the IPO, ESDS Software Solution raised ₹215.99 crore from anchor investors. The company allotted 50,34,964 equity shares to anchor investors at ₹429 apiece.
What does the company do?
Incorporated in 2005, ESDS Software Solution is an end-to-end AI-enabled cloud, managed services, data centre infrastructure and software solutions provider.
According to the company, it is one of only two players in India offering the entire spectrum of GPU-as-a-Service (GPUaaS) cloud, managed services, data centre infrastructure and software solutions. Among these two players, ESDS is the larger company by revenue from operations, reporting revenue of ₹472.2 crore in fiscal 2026.
The company provides cloud infrastructure and software solutions across infrastructure-as-a-service (IaaS), cloud services and computing, managed services and software-as-a-service (SaaS).
Its IaaS business broadly includes colocation and data centre services, while its broader platform is designed to help customers adopt cloud solutions with an emphasis on cost efficiency, security, flexibility, scalability and reliability.
(DISCLAIMER: The views and opinions expressed by investment experts on fortuneindia.com are either their own or of their organisations, but not necessarily that of fortuneindia.com and its editorial team. Readers are advised to consult certified experts before taking investment decisions.)