ESDS IPO Subscribed 42.7X On Day 3, NII Portion Booked 126X

Enterprise cloud and AI company ESDS Software Solution’s IPO was subscribed 42.72X by 12:33 IST today, the third and final day of bidding.

Investors placed bids for 52.77 Cr shares against the 1.24 Cr shares on offer, according to BSE data.

NIIs continued to lead the demand, placing bids for 33.27 Cr shares against the 26.47 Lakh shares reserved for them. The category was subscribed 125.68X.

Within the NII category, the portion reserved for investors bidding for more than ₹10 Lakh was subscribed 131.63X. Meanwhile, the portion for investors bidding between ₹2 Lakh and ₹10 Lakh was booked 113.77X.

Retail investors placed bids for 17.54 Cr shares against the 61.76 Lakh shares reserved for them, resulting in a subscription of 28.4X.

QIB participation also picked up sharply on the final day. The category received bids for 1.96 Cr shares against the 35.29 Lakh shares available for it, translating into a subscription of 5.54X.

This marked a significant increase from the end of the second day of bidding, when the IPO was subscribed 18.34X. At the time, the NII and retail portions were subscribed 51.16X and 14.61X, respectively, while the QIB category was booked just 0.25X. 

The ₹720 Cr IPO, which comprises entirely a fresh issue of shares, is priced in the range of ₹408 to ₹429 per share. The issue closes for subscription today, while ESDS’ shares are expected to list on the BSE and NSE on Friday (September 4).

At the upper end of the price band, the company is seeking a valuation of about ₹5,028 Cr (about $527 Mn).

ESDS plans to deploy ₹576 Cr from the net proceeds towards purchasing and installing cloud computing equipment and other infrastructure at its existing data centres in Airoli, Bengaluru, Mohali, and Nashik. A portion of the proceeds will be used for general corporate purposes.

Ahead of the IPO, ESDS raised ₹216 Cr from anchor investors by allotting 50.3 Lakh shares to 19 entities at ₹429 apiece. The anchor investors included Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Quant Mutual Fund, ITI Mutual Fund, and JM Flexicap Fund, among others.

Founded in 2005, Nashik-based ESDS provides cloud computing, data centre, managed services, and AI-led digital solutions to government and enterprise customers.

This is ESDS’ second attempt to go public. It first filed its IPO papers in September 2021 but did not proceed with the issue. The company refiled its papers in March 2025.

On the financial front, ESDS reported a consolidated net profit of ₹120.8 Cr in FY26, more than double the ₹55.6 Cr it posted in the previous fiscal year. Its operating revenue rose 30.7% to ₹472.2 Cr from ₹361.3 Cr in FY25.

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