S A Tech Software IPO Subscribed More Than 600 Times On Final Day

On the final day of bidding, the issue of S A Tech Software India Limited received an overwhelming response from investors with an oversubscription of more than 600 times the shares offered. S A Tech Software India Limited’s initial public offering opened for subscription on July 26 and concluded on July 30. This book-built issue involves a fresh issuance of 39 lakh shares.

The SME IPO was subscribed 15.37 times on Day 1 and 101.92 times on Day 2.

The IPO has been subscribed 621.25 times on Tuesday, July 30.

• Anchor investors: 1 time

• Non-institutional buyers: 1,178.97 times

• Retail investors: 621.77 times

• Qualified Institutions: 201.29 times

The price band for the IPO was set between Rs. 56 and Rs. 59 per share. Investors interested in participating can apply in minimum lot sizes of 2000 shares, with retail investors needing to invest a minimum of Rs. 118,000. For high-net-worth individuals, the minimum investment is two lots, or 4000 shares, totaling Rs. 236,000.

The allotment of S A Tech Software India IPO is expected to be finalised by July 31 and the shares are slated to be listed on the NSE SME platform with a tentative date of August 2.

S A Tech Software India IPO offered a total of 3,900,000 shares, out of which 18.56% are reserved to QIBs, 13.95% to NII, 32.46% to retail investors and 27.74% to anchor investors.

The book-running lead manager for the IPO is GYR Capital Advisors Private Limited, while Bigshare Services Pvt Ltd will serve as the registrar for the issue. The market maker for the S A Tech Software IPO is Giriraj Stock Broking.

Established in 2012, S A Tech Software India Limited operates as an IT consulting subsidiary of SA Technologies Inc., based in the USA. The company specializes in a broad range of technology services, including application development, mobile app development, cloud infrastructure, software quality assurance, and emerging technologies such as generative AI, machine learning, IoT solutions, and data science.

S A Tech Software’s service offerings cater to Fortune 500 clients, focusing on enhancing product conceptualization, design, development, and delivery. Their portfolio includes artificial intelligence and machine learning, data science and analytics, software development, digital transformation, cloud and DevOps services, and quality assurance and testing.

The net proceeds from the IPO are intended for several key purposes. Primarily, the funds will be used to bolster the company's working capital requirements. Additionally, the IPO proceeds will support expansion efforts and the enhancement of its technological capabilities. The funds will also be utilized for general corporate purposes, which includes strategic investments and operational growth.

S A Tech Software India Ltd has shown some financial growth, for the fiscal year ending March 31, 2024, the company reported a 27.59% increase in revenue compared to the previous year. Notably, the company's profit after tax (PAT) surged by an astounding 266.7%.