Sagility shares make muted debut, list at Rs 31.06, a premium of 3.5% over IPO price

Sagility India’s shares listed at Rs 31.06 on the exchanges, posting a modest premium of 3.5 percent against its issue price of Rs 30. The IPO saw an oversubscription of 3.2 times, with robust demand across retail and institutional investors. Notably, the IPO was an offer for sale (OFS) with no fresh equity issuance.

The initial public offering (IPO) of Sagility India garnered considerable interest during the subscription period, which was open from November 5 to November 7, 2024. The IPO allotment was finalized on November 9, ahead of today’s listing date.

The Sagility India IPO, priced between Rs 28 and Rs 30 per share, was entirely an offer-for-sale (OFS), through which the company raised Rs 2,106.60 crore. The book-built issue was a sale of 70.22 crore equity shares, making it one of the notable listings in recent months.

Subscription highlights:

The IPO was met with decent demand, achieving a subscription rate of 3.20 times overall. The retail investor segment was oversubscribed by 4.16 times, while the Qualified Institutional Buyers (QIBs) category recorded a subscription rate of 3.52 times. The Non-Institutional Investors (NII) category saw a lower subscription rate of 1.93 times.

Listing details:

Sagility India shares were part of a Special Pre-open Session (SPOS) before regular trading commenced at 10:00 AM. The equity shares have been included in the ‘B’ group of securities on the exchanges.

Company performance overview:

Sagility India posted a nine-point-six per cent increase in revenue from operations for the quarter ending June 30, 2024, reaching Rs 1,223 crore compared to Rs 1,116 crore in the same period last year. For the full financial year FY24, the company’s revenue rose by twelve-point-six-nine per cent to Rs 4,753 crore, up from Rs 4,218.4 crore in FY23, indicating strong business growth.

IPO managers and listing support:

ICICI Securities, IIFL Securities, Jefferies India, and JP Morgan India acted as the book-running lead managers for the issue. Link Intime India Private Ltd handled the IPO allotment and registrar services.

Sagility India's listing comes amid fluctuating investor sentiment in the IPO market. However, the company’s strong revenue growth and operational performance may appeal to long-term investors seeking exposure in the healthcare services sector.