Indian IT firm Happiest Minds more than doubles in market debut

And happiest IPO (this week) goes to Happiest Minds, which was subscribed 150 times. The Indian IT firm will use the proceeds to ramp up its internet of things (IoT) capabilities.

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Happiest Minds Technologies IPO shot through the roof to close with a whopping 150.98 times oversubscription on the last day. Qualified Institutional Buyers (QIB) and Non-Institutional Investors (NII) rushed to subscribe to the issue on the final day. With this, Happiest Minds has broken into a league of rare companies whose IPOs were subscribed over 100 times — the exclusive club has less than 20 members. Happiest Minds is an IT company run by Ashok Soota, one of the founders on Mindtree.

Happiest Minds Technologies’ issue saw an overwhelming response from QIBs on the final day, which over-subscribed their quota by 77.43 times. NIIs outgunned QIBs, subscribing to their portion 351.46 times. Retail investors, who fully subscribed their portion in less than three hours on Monday when the issue opened, oversubscribed the issue over 69 times at close. Bids were received for a total of 350 crore shares against the 2.32 crore that were on offer. Analysts say Happiest Minds has the potential to hand investors listing gains as well as long term gains given the favourable market conditions for IT companies.

The other public issue that opened for subscription today was the Route Mobile IPO. It was off to a decent start, with 80% subscription till 4 PM on the first day of the bidding. Route Mobile would be the first company to be listed on the bourses from the cloud communications services space. Retail investors have so far oversubscribed their issue. The quota for retail investors was subscribed 147%  while QIBs had bid for just 0.01 times. NIIs have shown interest with 26% subscription recorded for their portion.The Route Mobile IPO will remain open for subscription till the end of this week. “At the higher end of the price band, the issue is valued at 29x FY20 P/E (fully diluted), which is comparable to mid-sized IT firms. We recommend Subscribe to the IPO given RML’s strong presence in the niche CPaaS market with high entry barriers and healthy financials. Further given the small offer size and presence in niche IT space, one may get listing gains too,” said Brokerage and research firm Motilal Oswal Financial Services.  Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.HomeMARKETSIpo NewsHappiest Minds IPO shatters records subscribed 151 times Route Mobile IPO off to decent start

The Route Mobile IPO will remain open for subscription till the end of this week. “At the higher end of the price band, the issue is valued at 29x FY20 P/E (fully diluted), which is comparable to mid-sized IT firms. We recommend Subscribe to the IPO given RML’s strong presence in the niche CPaaS market with high entry barriers and healthy financials. Further given the small offer size and presence in niche IT space, one may get listing gains too,” said Brokerage and research firm Motilal Oswal Financial Services. 

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

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