Diensten Tech Ltd Shares Surge 140% on NSE SME Listing

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Diensten Tech Shares Skyrocket 140% on NSE SME Debut

Team FS

03/Jul/2024

Key Points:

Diensten Tech Ltd shares listed at a 140% premium, opening at ₹240 against the issue price of ₹100 per share.

The stock surged further by 5%, reaching a high of ₹252 per share due to investor buying.

The company's IPO was subscribed 53.94 times, raising ₹22.08 crore from public investors.

Diensten Tech Ltd made an impressive debut on the NSE SME platform, Emerge, on Wednesday, with its shares listing at a bumper premium of 140% against the issue price. The company's shares opened for trading at ₹240 apiece compared to the issue price of ₹100 per share, reflecting a significant market reception.

Following the listing, the stock rose further by 5%, reaching a high of ₹252 per share from the listing price as investors showed strong interest. In the first five minutes of trading, over 7.32 lakh shares of the company changed hands on the NSE SME platform, and the market valuation of the company stood at ₹208.17 crore.

Based in New Delhi, Diensten Tech Ltd is an IT consultancy and software training services provider. The company offers a range of services including IT professional resourcing, IT consultancy, IT training, and software AMC services. It is promoted by JK Traders Limited, Vipul Prakash, Tina Prakash, and Abhishek Singhania. Prior to the IPO, promoters held around 95% stake in the company, which decreased to 69% after the public issue.

The IT consultancy service provider launched its initial public offering on June 26, aiming to raise ₹22.08 crore from public investors. The issue, which included a fresh issue of 22.08 lakh shares, closed on July 28. The company set the IPO price band at ₹95 to ₹100 per share, with a minimum lot size of 1200 shares and a minimum investment requirement of ₹1,20,000 for retail investors.

According to exchange data, Diensten Tech's IPO was booked 53.94 times. Applications for 7.92 crore shares worth ₹792.90 crore were received against 14.7 lakh shares on offer. The quota for Qualified Institutional Buyers (QIBs) was booked 9.6 times, with bids for 40.33 lakh shares received against 4.2 lakh shares on offer. The company had earlier allotted 6.27 lakh shares to anchor investors, raising ₹6.28 crore at a price of ₹100 per share, and set aside 50% of the net issue size for institutional investors.

The portion reserved for Retail Individual Investors (RIIs) was booked 35 times, with retail applicants placing bids for 2.63 crore shares against 7.34 lakh shares on offer. The Non-Institutional Buyers (NIIs) portion was booked 154 times, with bids for 4.89 crore shares against 3.15 lakh shares on offer. The company had allocated 35% of the net issue for retail investors and 15% for NIIs.

The proceeds from the IPO are intended to meet working capital requirements, settle liabilities related to business acquisition, and for other general corporate purposes. Specifically, the company plans to use ₹3.81 crore to clear outstanding payments related to the acquisition of the Professional Services and Training Division of J K Technosoft Ltd in April 2022, and ₹1.177 crore to meet working capital requirements.

The successful listing of Diensten Tech Ltd shares at a 140% premium marks a significant milestone for the company and highlights the strong demand and investor confidence in its growth potential. The funds raised from the IPO will support the company's expansion plans, enabling it to further enhance its service offerings and market reach.

In summary, Diensten Tech Ltd shares made a spectacular debut on the NSE SME platform, opening at ₹240 per share against the issue price of ₹100 per share. The stock's subsequent rally to ₹252 per share underscores the positive market sentiment and investor enthusiasm for the company's future prospects.

The Upcoming IPOs in this week and coming weeks are Ambey Laboratories Limited, Effwa Infra & Research Limited, Ganesh Green Bharat Limited.

The current active IPO is Emcure Pharmaceuticals Limited, Bansal Wire Industries Limited.

The Recently Listed IPOs which is available for trading in stock Market are Diensten Tech Limited, Vraj Iron and Steel Limited, Divine Power Energy Limited, Akiko Global Services Limited, Petro Carbon & Chemicals Limited, Visaman Global Sales Limited, Mason Infratech Limited, Sylvan Plyboard (India) Limited, SHIVALIC POWER CONTROL, Allied Blenders and Distillers, Stanley Lifestyles Limited, Medicamen Organics Limited, EnNutrica (Dindugal Farm Product) IPO, Winny Immigration and Education Services Limited, GP Eco Solutions India Limited ,United CotFab Limited, LE TRAVENUES TECHNOLOGY LIMITED (ixigo), Awfis Space Solutions IPO, Go Digit IPO, Vilas Transcore IPO, GSM Foils IPO, Rulka Electricals IPO, HOAC FOODS INDIA IPO, Aadhar Housing Finance IPO.

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Diensten Tech Shares Skyrocket 140% on NSE SME Debut

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