In a spectacular display of investor enthusiasm, the initial public offering (IPO) of Netweb Technologies India has been oversubscribed a remarkable 90 times. The IPO, which aimed to raise Rs 631 crores, witnessed a tremendous response from investors during the three-day bidding process held between July 17 and July 19.
Netweb Technologies, a prominent high-end computing solutions (HCS) provider, received an overwhelming demand for its shares, thanks to its niche business model and cutting-edge offerings. Established in 1999, the company specializes in high-performance computing (supercomputing/HPC) systems, private cloud and hyper-converged infrastructure (HCI), AI systems, enterprise workstations, high-performance storage solutions, data center servers, software, and services.
During the bidding process, the primary stake sale of Netweb Technologies took place in the price range of Rs 475 to Rs 500 per share, attracting aggressive bidding from qualified institutional bidders (QIBs) who oversubscribed their reserved quota by a whopping 220.69 times. This level of subscription by QIBs is the highest seen in over a decade. Non-institutional bidders (NIIs) and retail investors also participated actively, with their portions being subscribed 83.21 times and 19.48 times, respectively. Additionally, the portion reserved for employees fetched a notable 55.92 times bids.
Industry experts and brokerage firms tracking the IPO have remained bullish on Netweb Technologies, lauding its robust business fundamentals, strong financials, and reasonable valuations when compared to its peers. Many of them have recommended investors to bid for the IPO, given its promising growth prospects.
Today, on July 24, the basis of allotment for the IPO has been finalized, and investors who have applied for shares can now check their allotment status. To do so, they can visit the Bombay Stock Exchange (BSE) website at https://www.bseindia.com/investors/appli_check.aspx. By selecting Equity as the issue type and entering their application numbers and PAN card ID, investors can easily check their status.
Alternatively, the allotment status can be verified on the online portal of Link Intime, the registrar to the issue, at https://linkintime.co.in/MIPO/Ipoallotment.html. Investors need to select the company name and provide either their application number, demat account number, or PAN ID along with the captcha accurately before submitting.
Investors who were not allotted any shares in the IPO can expect to receive their refunds starting from July 25. For those who have been allotted shares, the credit of shares in their Demat accounts is likely to take place by July 26. The official listing of Netweb Technologies’ shares is scheduled for July 27.
The oversubscribed IPO reflects the immense interest and confidence investors have in Netweb Technologies and its capabilities to excel in the high-tech domain. The company’s future listing and performance in the unlisted market are being keenly anticipated, with expectations of significant listing gains for investors.
In conclusion, the successful completion of Netweb Technologies IPO showcases the growing appeal of technology-based companies in the stock market and underscores the potential for further advancements in the high-end computing solutions sector.
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