The Arisinfra Solutions IPO was indeed reported to have a 24% subscription rate on its first day of bidding, June 18, 2025, according to data from the National Stock Exchange (NSE). Below is a detailed breakdown based on available information:
Subscription Details (Day 1, June 18, 2025):
- Overall Subscription: 0.24x (24%), with bids for 3,178,815 shares against the 13,084,656 shares offered.
- Retail Individual Investors (RII): Subscribed 1.04x, indicating full subscription of their allocated quota (10% of the issue).
- Non-Institutional Investors (NII): Subscribed 0.19x, showing weaker interest, with bids for larger investments (>₹10L) at 0.14x and smaller investments (<₹10L) at 0.29x.
- Qualified Institutional Buyers (QIB): Subscribed 0.00x, reflecting no institutional participation on Day 1.
- Total Applications: Approximately 32,958+ applications were received.
Key IPO Details:
- Issue Size: ₹499.60 crore, comprising a fresh issue of 22.5 crore equity shares with no Offer for Sale (OFS).
- Price Band: ₹210–₹222 per share, with a minimum lot size of 67 shares (minimum retail investment of ~₹14,874 at the upper band).
- Subscription Period: June 18–20, 2025.
- Allotment Date: Expected to be finalized on June 23, 2025.
- Listing Date: Tentatively set for June 25, 2025, on BSE and NSE.
- Grey Market Premium (GMP): As of June 17, 2025, the GMP was ₹25, suggesting an expected listing price of ₹247 (11.26% above the upper band). However, GMP had dipped from a high of ₹30 earlier.
- Anchor Investors: The company raised ₹224.82 crore from anchor investors on June 17, 2025, allotting 10,126,946 shares at ₹222 to 15 funds, including Astorne Capital VCC and Citigroup Global Markets Mauritius.
Company Overview:
Arisinfra Solutions, founded in 2021, is a B2B technology-enabled platform focused on digitizing the procurement of construction materials like steel, cement, and ready-mix concrete. It serves real estate and infrastructure developers, delivering 14.10 million metric tonnes of materials between April 2021 and December 2024, with a network of 1,729 vendors and 2,659 customers across 963 pin codes.
Financials:
- FY24: Revenue of ₹702.36 crore (down 7% from ₹754.44 crore in FY23), with a net loss of ₹17.30 crore (up from ₹15.40 crore loss in FY23).
- 9M FY25: Revenue of ₹557.8 crore, with a profit of ₹6.5 crore, showing improvement.
- Analysts note concerns about prior losses and high valuation (48.3x annualized FY25 EV/EBITDA), leading to “AVOID” recommendations from some, like Deven Choksey Research and Bajaj Broking.
Sentiment and Analysis:
- Weak Day 1 Response: The 24% subscription rate reflects cautious investor sentiment, particularly among NII and QIB segments, possibly due to the company’s loss-making history and high valuation. Retail interest was relatively stronger, likely driven by the GMP and infrastructure sector growth potential.
- Market Context: The IPO’s lukewarm start aligns with some X posts noting poor initial demand (e.g., 0.05x at 10:54 AM), though retail participation improved by day’s end.
- Should You Subscribe?: Analysts suggest caution for short-term investors due to expensive valuations and financial risks. Long-term investors may consider it for exposure to India’s growing infrastructure sector, but fundamentals should be closely evaluated.
Next Steps:
- Monitor subscription trends on Days 2 and 3 (June 19–20, 2025), as QIB and NII participation often picks up later.
- Check live subscription status on BSE/NSE or platforms like Zerodha/Upstox.
- For allotment status, visit the registrar’s website (Link Intime India) post-June 23.
This article is not a financial advice. Consult your Financial Advisor. Stock Market involve significant risks.