New Delhi, July 3 (H.S.): Valencia India faced a disappointing stock market debut today, with its shares listed on the BSE SME platform at 88 rupees, 20 percent below the IPO price of 110 rupees. Selling pressure further drove the share price down to 83.60 rupees by 11:30 AM, resulting in a 24 percent loss for IPO investors.
The IPO, which raised 48.95 crore rupees from June 26 to 30, saw a lukewarm response, achieving a total subscription of 1.28 times. The Qualified Institutional Buyers (QIB) and Non-Institutional Investors (NII) portions were oversubscribed at 1.28 and 1.22 times, respectively, while retail investors subscribed at 1.31 times. A total of 44 crore rupees in new shares were issued along with 4.50 lakh shares sold via the offer for sale window. The proceeds from the IPO are intended to fund the company's working capital needs and general corporate purposes.
Financially, the company reported a net profit increasing from 25 lakh rupees in 2021-22 to 1.94 crore rupees in 2023-24, with revenue growing over 18 percent annually, reaching 7.11 crore rupees. For the fiscal year 2024-25 (April to December), it recorded a net profit of 1.54 crore rupees and revenue of 5.56 crore rupees.
Hindusthan Samachar / Jun Sarkar