Infonative Solutions IPO Listing Disappoints Investors (See Listing)

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Investors in Infonative Solutions’ IPO faced a setback when the company’s shares got listed on the BSE SME platform.

Despite strong demand—over 4 times subscription—the shares were issued at ₹79 but listed at just ₹63.20. This means investors faced an immediate 20% loss on listing day.

The situation worsened as the stock hit the lower circuit at ₹60.04, pushing the loss to 24% for IPO investors.

Use of IPO Funds

Infonative Solutions raised ₹24.71 crore through its IPO, which was open from March 28 to April 3. The IPO was subscribed 4.53 times overall:

QIBs (Qualified Institutional Buyers) subscribed 18.57 times

NIIs (Non-Institutional Investors) subscribed 2.15 times

Retail Investors subscribed 4.25 times

A total of 31.28 lakh new shares (face value ₹1) were issued. The funds will be used as follows:

₹7.35 crore for new features in its LMS (Learning Management System), new products and courses, and laptop purchases

₹5 crore for working capital

The remaining amount for general corporate purposes

Company Background and Financial Performance

Infonative Solutions, established in 2014, develops e-learning content and provides digital training services for both corporate clients and educational institutions.

It offers cloud-based learning management systems and works with major clients, including Fortune 500 companies and government bodies.

Financial Highlights

FY 2022: Profit ₹2.23 crore, Revenue ₹18.63 crore

FY 2023: Profit ₹1.07 crore, Revenue ₹20.95 crore

FY 2024: Profit ₹1.45 crore, Revenue ₹18.08 crore

April–Sept 2024 (H1 FY 2025): Profit ₹3.64 crore, Revenue ₹11.42 crore

The company’s profit dipped in FY 2023 but improved again in FY 2024 and showed strong growth in the first half of FY 2025.

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