Amagi Media Labs made a lacklustre entry into the stock market on Wednesday, with its shares listing below the issue price on both the BSE and NSE, despite strong demand during its initial public offering.

The stock debuted at ₹317 per share on the BSE on 21 January, marking a discount of nearly 12% compared to the IPO price of ₹361. On the NSE, shares opened marginally higher at ₹318, though still below the issue price. Following the listing, the company’s market capitalisation was valued at around ₹6,857.94 crore.

IPO Draws Heavy Demand Despite Soft Listing

The muted debut came even as the ₹1,789 crore IPO received robust interest from investors across categories during the subscription period from 13 January to 16 January. Overall, the issue was subscribed nearly 30 times, reflecting strong demand for the offering.

Retail investors subscribed 9.31 times their reserved quota, while non-institutional investors showed aggressive participation, subscribing about 37.36 times. Qualified institutional buyers (QIBs) also demonstrated confidence, with their portion subscribed 33.77 times.

Issue Details and Price Band

The public issue consisted of a fresh equity issue worth ₹816 crore, along with an offer for sale (OFS) of ₹973 crore by existing shareholders. The IPO was priced in the range of ₹343 to ₹361 per share.

Investors were required to bid for a minimum lot size of 41 shares, amounting to an investment of ₹14,801 at the upper end of the price band. Additional applications could be made in multiples of the lot size.

Strong Anchor Investor Backing

Ahead of the public offering, Amagi Media Labs raised ₹804.87 crore from 42 anchor investors on 12 January. Domestic mutual funds played a significant role in the anchor round, receiving equity allocations worth ₹613 crore across several major fund houses.

Insurance companies also participated, investing approximately ₹53.98 crore in the anchor segment, underscoring institutional interest in the company despite the subdued listing performance.

Summary

Amagi Media Labs listed on the stock exchanges at around a 12% discount to its IPO price, reflecting cautious market sentiment toward new-age technology stocks. The subdued debut contrasted with strong IPO demand, as the issue was subscribed nearly 30 times across investor categories. Backed by significant anchor investor participation, the company entered the market with a valuation of about ₹6,858 crore, even as investors remained selective at the time of listing.

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