Ace Alpha Tech Limited, formerly known as DM Prime Square Research & Analytics Private Limited, is stepping into the public markets with its Initial Public Offering (IPO), opening for subscription on June 26, 2025 and closing on June 30, 2025. The company has structured the issue as a book-built IPO aggregating to ₹49.97 crores, comprising a fresh issue of ₹37.96 crores and an Offer for Sale (OFS) of ₹12.00 crores.

This IPO places Ace Alpha Tech among the growing number of fintech players in India capitalizing on the demand for advanced trading systems, investment management platforms, and risk solutions. The IPO price band has been fixed at ₹101 to ₹107 per equity share, with a lot size of 1,200 shares. At the upper end of the band, the company's market capitalization will be ₹187.87 crores.

Business Overview

Ace Alpha Tech is a technology-driven company providing professional trading systems, investment and portfolio management tools, and risk management software. Its solutions are tailored for institutions, proprietary trading desks, and retail traders, covering a wide spectrum of clients in India’s evolving capital market ecosystem.

With a strong emphasis on technology innovation and personalized services, the company helps clients automate processes, reduce trading risks, and improve profitability. Its proprietary platforms enable clients to streamline trade executions, analyze real-time data, and optimize investment strategies.

IPO Details and Timeline

The Ace Alpha Tech IPO includes a fresh issue of 35.48 lakh equity shares and an OFS of 11.22 lakh shares. The IPO is scheduled to open on June 26, 2025, and will close on June 30, 2025. The basis of allotment is likely to be finalized on July 1, 2025, and shares will be listed on the BSE SME platform on or around July 3, 2025.

Retail investors must invest a minimum of ₹1,28,400 (1 lot of 1,200 shares), while High-Net-Worth Individuals (HNIs) need to apply for at least 2 lots (2,400 shares), amounting to ₹2,56,800.

Narnolia Financial Services Limited is the Book Running Lead Manager (BRLM) to the issue, and Skyline Financial Services Private Limited is acting as the Registrar. SS Corporate Securities Limited is the Market Maker for this IPO.

Financial Performance

Ace Alpha Tech has shown a robust financial performance in recent years. The revenues from operations and profit after tax (PAT) have exhibited a strong upward trajectory:

• Revenue:

  • FY22: ₹36.16 lakh

  • FY23: ₹494.02 lakh

  • FY24: ₹1,535.38 lakh

  • FY25 (up to Dec 31, 2024): ₹1,271.31 lakh

• EBITDA:

  • FY22: ₹18.12 lakh

  • FY23: ₹444.55 lakh

  • FY24: ₹1,427.41 lakh

  • FY25 (up to Dec 31, 2024): ₹1,169.51 lakh

• PAT:

  • FY22: ₹13.45 lakh

  • FY23: ₹332.31 lakh

  • FY24: ₹1,065.40 lakh

  • FY25 (up to Dec 31, 2024): ₹846.79 lakh

These figures indicate a consistent and impressive growth trajectory, especially considering the company’s shift to high-margin, tech-driven operations.

Valuation Metrics

• Pre-issue EPS (FY24): ₹7.94

• Post-issue EPS (FY24): ₹6.07

• Pre-issue P/E ratio: 13.48x

• Post-issue P/E ratio: 17.63x

• Industry P/E: 23x

• Annualized EPS: ₹6.43

• Annualized P/E: 16.64x

Other financial ratios further underscore the company’s strong fundamentals:

• Return on Capital Employed (ROCE): 109.31%

• Return on Equity (ROE): 82.00%

• Return on Net Worth (RoNW): 47.91%

These metrics suggest that Ace Alpha Tech IPO is fairly priced, offering investors a good blend of growth and profitability.

Grey Market Premium (GMP)

As of June 20, 2025, the GMP for Ace Alpha Tech IPO stands at ₹13, indicating a potential listing price of ₹120 per share. This represents a listing gain of approximately 12.14%, showing moderate but healthy demand in the grey market.

It is, however, essential to remember that grey market data is unofficial, unregulated, and should be considered as only one of many indicators before making an investment decision.

Objectives of the Issue

Ace Alpha Tech intends to deploy the IPO proceeds for the following purposes:

1. ₹1,250.00 lakhs towards capital expenditure, which includes technology upgrades and infrastructure development.

2. Funds will also be used for unidentified acquisitions, expansion strategies, and general corporate purposes.

These objectives align with the company’s plan to scale its fintech offerings, expand into new market segments, and strengthen its operational base.

Leadership and Promoter Background

The company is led by Mr. Gaurav Sharma, who serves as the Chairman, Managing Director, CFO, and Promoter. With 13 years of experience in the technology and financial domains, Mr. Sharma has guided the company through a major transformation phase, positioning it as a next-generation fintech solutions provider.

His leadership is supported by a strong technical team and experienced management, ensuring robust operational execution and product innovation.

How to Check Allotment Status

The allotment for Ace Alpha Tech IPO will be declared on July 1, 2025. Investors can follow the steps below to check their allotment status:

• Visit the official website of Skyline Financial Services Private Limited (Registrar).

• Select Ace Alpha Tech Limited IPO from the dropdown.

• Enter your Application Number, PAN, or DP Client ID.

• Submit and view the allotment status.

Investor Outlook and Recommendation

The company’s strong fundamentals, rapid revenue growth, and cost-efficient business model make Ace Alpha Tech a compelling IPO candidate, especially for those targeting listing gains. The price band and valuation are justified considering the industry P/E benchmark.

Its unique value proposition—integrated trading and risk platforms for institutions and individuals—places it at the forefront of India’s evolving fintech landscape.

Given the Grey Market Premium, positive financial metrics, and strategic expansion plan, the IPO is suitable for risk-tolerant investors looking for short-term gains with long-term potential.

Disclaimer: This article is intended for educational and informational purposes only and does not constitute financial advice. Investors are urged to consult a SEBI-registered financial advisor before investing. Market investments are subject to market risks, and readers must conduct their own due diligence before subscribing to any IPO.

The Upcoming IPOs in this week and coming weeks are Silky Overseas, Vandan Foods, Pushpa Jewellers, Cedaar Textile, Adcounty Media India, Marc Loire Fashions, Indogulf Cropsciences, Moving Media Entertainment, Valencia India, Neetu Yoshi, PRO FX Tech, Suntech Infra Solutions, Ace Alpha Tech.

The Current active IPO are Rama Telecom, Supertech EV, Sambhav Steel Tubes, HDB Financials, Abram Food, Shri Hare-Krishna Sponge Iron, Icon Facilitators, Globe Civil Projects, Ellenbarrie Indutrial Gases, Kalpataru, AJC Jewel.

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