Slone Infosystems IPO listing: Shares make strong debut, list at 50% premium

Slone Infosystems IPO: Shares of small and medium enterprise (SME) Slone Infosystems Ltd made a spectacular trading debut on Friday, May 10, with the stock listing at 50% premium of the NSE Emerge platform.

The Slone Infosystems shares opened the session at ₹118.5 apiece, up 50% from its initial public offering (IPO) price of ₹79. Despite a solid opening, trading in the shares remained choppy, with the stock hitting an intra-day high of ₹119.45 and an intra-day low of ₹112.6 apiece on the NSE.

However, considering that the lot size in the Slone Infosystems IPO was 1,600 shares, successful bidders who were allotted shares in the public issue would have been sitting on a profit of at least ₹63,200 as soon as the stock started trading on exchanges.

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The Slone Infosystems IPO had seen tremendous response from investors when it was open for subscription during May 3 to May 7.

The SME IPO was oversubscribed by a whopping 668 times after the three-day bidding. The issue received bids for over 88.79 crore shares against 13.29 lakh shares on offer.

The non-institutional investors’ (NIIs) category was the most booked at nearly 757 times. Bids were received for 50.26 crore shares against 6.64 lakh shares on offer. The retail investors’ portion was, meanwhile, subscribed by nearly 541 times. Bids were received for 36 crore shares against 6.65 lakh shares reserved for the category.

The Slone Infosystems IPO was a fixed-price issue, with shares offered at ₹79 apiece. The public issue consisted only of fresh issuance with no offer for sale (OFS) portion. As part of the fresh issue portion, Slone Infosystems issued a total of 14 lakh shares, which aggregates to fresh fund-raising of ₹11.06 crore.

The company has planned to use the proceeds of the IPO for capital expenditure towards purchase of laptops, desktops, SSD and RAM. The company said it would also repay and prepay its borrowings.

Set up in December 2022, Slone Infosystems is an IT hardware solutions provider. The company sells various IT hardware products such as laptops, desktops, servers, and workstations. It also offers IT solution services to corporate clients, including managing cloud servers and servicing IT equipment.

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