Pace Digitek Share Price Makes Muted Debut After IPO

Shares of Pace Digitek Ltd. listed at a premium of just 3% over the IPO price in the stock market on Monday. The scrip opened at Rs 225 on the NSE and Rs 226.85 on the BSE, compared to the issue price of Rs 219 per share.

The latest grey market price indicated a premium of Rs 12 with an estimated listing price of Rs 231, marking a 5% gain over IPO price, according to Investorgain.com.

A telecom infrastructure solution provider based in Bengaluru, Pace Digitek raised Rs 819 crore entirely through fresh issues, with no offer for sale component.

The Pace Digitek IPO was subscribed 1.7 times. The bids were led by Non-Institutional investors (2.90 times), portion reserved for employees (1.73 times), institutional investors (QIB) (1.60 times) and retail investors (1.03 times).

The company already raised Rs 245 crore through anchor investors, which include Societe Generale, Bandhan Mutual Fund and SBI General Insurance.

Pace Digitek is a multi-disciplinary solutions provider specialising in the telecom passive infrastructure industry, including telecom tower infrastructure and optical fiber cables. The firm's business is broadly classified into verticals like telecom, energy, communications and technology sector.

The company also undertakes manufacturing, installation and commissioning services of products at the site. It also undertakes operation and maintenance of site including tower erection and optical fiber cable laying as turnkey solution.

The company has established operational presence in Maharashtra, Gujarat, Karnataka, Andhra Pradesh, Jammu and Kashmir, Uttarakhand, Assam, Manipur, Arunachal Pradesh, Mizoram, Nagaland, Sikkim among others along with operations in Myanmar and Africa

The proceeds from the IPO fresh issue to the extent of Rs 630 crore will be used for funding capital expenditure requirements and general corporate purposes.