Vdeal System Limited made an impressive debut on the NSE SME platform on 3rd September, with shares opening at ₹170. This marks a substantial 51.79% premium over the issue price of ₹112 per share. The strong performance not only surpassed expectations but also highlighted the growing confidence in the company’s offerings.
Strong start on the NSE SME platform
The shares of Vdeal System Limited exceeded grey market expectations, where they had been trading at a 26% premium prior to listing. The grey market, an unofficial ecosystem, allows shares to be traded before they officially open for public subscription. Vdeal System’s robust start on the NSE SME platform has further solidified its market standing.
High subscription rate
The public offer, worth ₹18 crore, garnered significant interest, with an overall subscription of over 70 times in just three days. Retail investors were particularly active, subscribing to their allotted quota 75 times over. Non-institutional investors also showed considerable interest, with over 60 times subscriptions. However, Qualified Institutional Buyers (QIBs) did not participate in the offer, reflecting a cautious approach.
Company background and future plans
Founded in December 2009, Vdeal System Limited specialises in providing integrated electrical and automation solutions. The company is renowned for its smart low voltage (LV) panels, medium voltage (MV) soft starters, energy management systems (EMS), and programmable logic controller (PLC) panels. With the proceeds from the IPO, Vdeal System plans to strengthen its working capital, prepay or repay certain loans, and cover general corporate expenses, including offer-related costs.
How to apply for an IPO online?
The success of Vdeal System's IPO has sparked interest among potential investors. If you're looking to capitalise on such opportunities, it's essential to know how to apply for an IPO online. Applying for an IPO online is a straightforward process that can be completed in a few easy steps. Investors can use various online platforms, such as their bank’s net banking facility or a brokerage app, to apply. It's crucial to ensure that your Demat account is linked and you have sufficient funds to cover the application.
When you apply for an IPO online, you can track the status of your application in real time. This provides transparency and allows you to make informed decisions based on the market's response to the IPO. With increasing interest in IPOs, learning how to apply for IPO online can be a valuable skill for any investor looking to diversify their portfolio.
Wrapping up
Vdeal System Limited's strong debut on the NSE SME platform underscores the company’s robust market presence and the high demand for its shares. With a solid foundation and strategic use of IPO proceeds, Vdeal System is well-positioned for future growth. For investors keen on participating in such promising opportunities, understanding how to apply for IPO online is essential, ensuring you don’t miss out on potential gains.
Incorporating online IPO applications into your investment strategy could open doors to substantial returns, as evidenced by the success of Vdeal System's recent offering.
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