Xtranet Technologies IPO Day 3: The initial public offering (IPO) of IT solutions company Xtranet Technologies has entered in it final day of subscription after getting fully subscribed on Day 1 itself.
Xtranet Technologies IPO SubscriptionAs of 1:37 pm, the IPO was subscribed over 6 times. The subscription was mainly led by Non-Institutional Investors (NIIs), followed by Retail Individual Investors (RIIs) and Qualified Institutional Buyers (QIBs).
Here is the subscription breakdown on Day 3:
- Qualified Institutional Buyers (QIBs): 0.95x
- Non-Institutional Investors (NIIs): 13.47x
- Retail Individual Investors (RIIs): 6.10x
This means that the IPO received 5,70,60,190 bids for 91,93,800 shares on offer.
If the GMP sustains, the estimated listing price could be around Rs 134 per share. This also suggests an estimated profit of Rs 770 on a lot size of 110 shares.
However, investors should note that the IPO has witnessed a declining trend in the grey market. The GMP slipped from Rs 26 on July 20 to Rs 18, then to Rs 13, and currently stands at Rs 7.
Following the three-day subscription window, which concludes on July 27 (today), the IPO will move towards the allotment phase. The allotment is expected to be finalised on July 28.
Xtranet Technologies IPO: Usage of Funds
The company plans to utilise the IPO proceeds for:
- Repayment/pre-payment, either fully or partially, of certain outstanding borrowings availed by the company
- Capital expenditure for the purchase and installation of systems and hardware
- Meeting working capital requirements
- General corporate purposes
Xtranet Technologies is an integrated IT solutions provider offering end-to-end services, including enterprise applications, digital transformation, managed services, proprietary platforms, and strategic technology partnerships.
(Disclaimer: The above article is meant for informational purposes only and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
