Unicommerce eSolutions IPO goes live: Should you subscribe?
What's the story
The initial public offering (IPO) of SoftBank-supported SaaS platform, Unicommerce eSolutions Ltd., has commenced today.
The subscription window will remain open until August 8.
Before the issue's launch, the company successfully raised ₹124.5 crore from anchor investors such as SBI Mutual Fund, HDFC Mutual Fund, ICICI Prudential Mutual Fund, Morgan Stanley, Franklin Templeton and the Prudential Assurance Company.
Fundraising goals
Unicommerce eSolutions aims to raise ₹276.57 crore through IPO
Unicommerce eSolutions plans to generate ₹276.57 crore through the IPO. The share issue price range is set at ₹102-108.
Investors have the option to bid for a minimum of 138 equity shares and in multiples thereafter.
The entire issue is an Offer for Sale (OFS) by promoter AceVector and investor SB Investment Holdings (UK), totaling up to 2.56 crore equity shares. This meaning all proceeds will go directly to these selling shareholders.
Share offloading
SoftBank and AceVector to offload shares in Unicommerce eSolutions
Under the Offer for Sale (OFS), SB Investment Holdings (UK) Ltd, an affiliate of Japan's SoftBank, will sell 1.61 crore shares.
Promoter AceVector Limited, formerly known as Snapdeal Limited, plans to offload up to 94.38 lakh shares.
Currently, SoftBank holds a 29.2% stake in Unicommerce eSolutions while AceVector owns 38.2%, and B2 Capital has close to a 10% stake.
IPO details
Unicommerce eSolutions IPO: Allocation and company profile
The issue size of the Unicommerce eSolutions IPO has been divided as follows: 75% for qualified institutional buyers, 35% for non-institutional investors, and the remaining 10% for retail investors.
Established in 2012, Unicommerce eSolutions is India's leading e-commerce enablement software-as-a-service (SaaS) platform.
It serves clients like Lenskart, FabIndia, Zivame among others and is expanding its overseas operations with clients in Singapore, the Philippines, Indonesia, the UAE, and Saudi Arabia.
IPO subscription
Unicommerce eSolutions IPO fully subscribed on opening day
On the first day of bidding, the IPO of Unicommerce eSolutions Ltd. saw a strong start with the retail component fully booked within 30 minutes.
The issue was fully subscribed within hours, receiving bids for 2,27,82,972 shares against 1,40,84,681 shares on offer.
The retail investors portion fetched a subscription rate of 7.25 times while non-institutional investors' quota got subscribed 1.10 times.
IPO details
Unicommerce eSolutions IPO: Listing and grey market premium
The book running lead managers for the Unicommerce eSolutions IPO are Iifl Securities Ltd and CLSA India Private Limited, with Link Intime India Private Ltd serving as the issue's registrar.
The company's shares are expected to be listed on BSE and NSE on August 13.
In the grey market, Unicommerce eSolutions shares were trading at a premium of ₹25 (at the time of writing), indicating an estimated listing price of ₹133 per share (23.15% gain).