ESDS Software shares surge 20% to hit Rs 908.40 in blockbuster debut

Shares of ESDS Software Solution jumped 20% on Thursday following an exceptionally strong listing on India's stock exchanges. The stock opened at Rs 908.40, representing an 111.5% rise from the IPO price of Rs 429 and a 76.5% premium over that base price. Trading activity was intense as the market capitalization added approximately Rs 1,775 crore in under five minutes, reaching over Rs 10,647 crore from roughly Rs 8,873 crore at the start of trading. Prior to listing, retail investors subscribed 39.64 times their allotted quantity while Qualified Institutional Buyers covered the offer 261.51 times. ESDS Software Solution had set an IPO price band between Rs 408 and Rs 429 per share for a total issue size of Rs 720 crore. The company announced plans to use roughly Rs 576 crore of raised funds to purchase and install new data centre infrastructure. While demand exceeded expectations, market analyst Shivani Nyati warned that some near-term profit-taking might occur as valuations could exceed fundamentals after such rapid growth.