ESDS Software Solution hits 20% upper circuit for third day; here’s what investors need to know

IT-enabled services provider ESDS Software Solution shares rallied 20% for the third consecutive trading session on Tuesday, September 8, as investors continued providing buying support after the company made a strong debut on the benchmark stock exchanges.

NSE data showed that ESDS Software Solution share price surged 20% to hit an intraday high and upper circuit level of ₹1,308.05 apiece on Tuesday’s market, in comparison to ₹1,090.05 apiece at the previous equity market close.

The trading volumes surged past 13.9 million equity shares across both NSE and BSE, with buy orders surpassing more than 6.4 lakh on NSE, resulting in a trading suspension, with no sell orders so far as of 12:20 am (IST).

ESDS Software Solution shares made a strong debut on the Indian stock market last week on Friday, September 4, marking a more than 76% premium at listing in comparison to the IPO issue price.

The company's shares were also witnessing demand from investors as ESDS Software Solution provides services to multiple data centres across major cities in India.

This emerges in line with the future growth prospects for the sector and India’s demand for artificial intelligence (AI), high-performance computing, and data centre capacity.

Stock gained 73% in 3 days

Since their NSE listing on Friday, September 4, ESDS Software shares have delivered around 73% returns to investors, with shares rising to ₹1,308.05 compared to the debut price of ₹757 apiece.

The company’s market capitalisation (m-cap) was at ₹15,331 crore as of the trading session on Tuesday, September 8, 2026.

When compared to the IPO issue price of ₹429 per share, the stock has risen 205% so far, as of the third day of trading on the stock market.

On BSE, ESDS Software’s stock surged 20% to hit the upper circuit of ₹1,289.55 apiece during Tuesday’s trading session, as per the exchange data.

The exchange data showed that the ESDS Software IPO was subscribed 135.88 times in three days, receiving bids for 1,67,85,63,340 shares compared to 1,23,52,942 shares on offer.

What are the plans for IPO funds?

ESDS Software’s initial public offering (IPO) was an entirely fresh issue of 1.68 crore equity shares as the company raised ₹720 crore from equity market investors from the primary market.

After a reduction of ₹52.95 crore in related expenses with the public issue, the company collected a total net proceeds of ₹667.04 crore from the stock market.

As per the SEBI filings, the company plans to use 86.35% or ₹576 crore of the proceeds to purchase and install cloud computing, other equipment and infrastructure in the relevant data centres, while using the remaining 13.65% or ₹91.04 crore funds for general corporate purchases.

Earlier, ESDS Software also disclosed that the company expects the public listing to improve the company’s visibility and brand image among existing and potential customers, as per the RHP filing.

The company expects to deploy the funds towards the goals in the financial year 2026-27 and the financial year 2027-28.