Seshaasai Technologies IPO: GMP, price band to review - 10 key things to know ahead of issue opening

Seshaasai Technologies IPO: Technology-driven payment solutions provider Seshaasai Technologies Ltd is set to launch its initial public offering (IPO) on Tuesday to raise over ₹800 crore from primary markets.

Seshaasai Technologies IPO is a combination of a fresh issue and offer-for-sale (OFS) of shares by its promoters. The IPO will close on September 25, and the equity shares of the company will be listed on both the stock exchanges, BSE and NSE.

Here are 10 key things to know about Seshaasai Technologies IPO:

Seshaasai Technologies IPO: 10 Key Things To Know

1] Seshaasai Technologies IPO Bidding Dates: Seshaasai Technologies IPO opens for subscription on Tuesday, September 23, and will close on Thursday, September 25.

2] Seshaasai Technologies IPO Allotment, Listing: Seshaasai Technologies IPO allotment date is likely Friday, September 26, and the tentative IPO listing date is Tuesday, September 30. Seshaasai Technologies shares will be listed on BSE and NSE.

3] Seshaasai Technologies IPO Price Band: Seshaasai Technologies IPO price band is set at ₹402 to ₹423 per share. The company is offering a discount of ₹40 per share to its employees.

4] Seshaasai Technologies IPO Size: At the upper-end of the price band, Seshaasai Technologies IPO size comes at ₹813.07 crore.

5] Seshaasai Technologies IPO Lot Size: Seshaasai Technologies IPO lot size is 35 shares. The minimum investment amount required by a retail investor is ₹14,805.

6] Seshaasai Technologies IPO Details: Seshaasai Technologies IPO is a combination of fresh issue of 1.13 crore equity shares worth ₹480 crore, and an offer-for-sale (OFS) component of 78.74 lakh shares amounting to ₹333.07 crore.

7] Seshaasai Technologies IPO Objectives: The company aims to utilise the net issue proceeds towards funding capex for the expansion of existing manufacturing units, prepayment and repayment of borrowings, and for general corporate purposes.

8] Seshaasai Technologies IPO BRLMs, Registrar: IIFL Capital Services Ltd. is the book running lead manager and MUFG Intime India Pvt. Ltd. is the Seshaasai Technologies IPO registrar.

9] Seshaasai Technologies IPO GMP: Seshaasai Technologies shares are commanding a strong grey market premium (GMP) ahead of the issue opening. Seshaasai Technologies IPO GMP today is ₹113 per share, market experts said. This indicates that Seshaasai Technologies shares are trading at a premium of 27% to their issue price in the grey market.

10] Seshaasai Technologies IPO Review: At the upper price band of ₹423, Seshaasai Technologies is valued at a P/E multiple of 30.8x based on FY25 earnings on post-issue capital.

“We recommend subscribing to Seshaasai Technologies IPO, as the company’s leadership in India’s payment solutions industry, expansion into IoT and RFID, planned entry into international markets, and upcoming capex across manufacturing units provide a good long term growth opportunity in digital payments, IoT, and connected technologies,” said SMIFS Ltd.

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