Awfis Space Solutions stock: Following a modest listing pop on Thursday, shares of Awfis Space Solutions Ltd maintained a rangebound trajectory. While the stock initially experienced some follow-up buying activity post-listing, profit booking at elevated levels limited its gains. As the maiden trading session progressed, the stock hovered close to its issue price towards the later stages.
Upon its listing, Awfis Space Solutions commanded a premium of approximately 14% at Rs 435 on the NSE and 13% at Rs 432.25 on the BSE, surpassing its issue price of Rs 383 per share. Subsequently, the stock further ascended by 4%, marking an overall increase of 18% over the issue price. Nevertheless, analysts’ opinions on the stock post-listing remain mixed.
Awfis Space Solutions, a prominent contender in India’s flexible workspace sector, made a commendable debut on the stock exchanges. Shivani Nyati, Head of Wealth at Swastika Investmart, noted that while the pre-listing Grey Market Premium (GMP) hinted at potentially higher gains, it gradually diminished in the days leading up to the listing. This shift may indicate a more cautious sentiment among investors.
She remarked, Although not remarkably explosive, Awfis Space Solutions’ listing marks a respectable starting point. The robust subscription underscores the allure of the co-working space segment, yet ongoing vigilance regarding the company’s financial health is advisable. Investors are advised to maintain their positions, with a suggested stop loss set at the issue price.
Awfis Space Solutions’ IPO was open for bidding from May 22 to May 27. The company offered its shares in the fixed price band of Rs 364-383 per share, with a lot size of 39 shares. In total, the company raised Rs 598.93 crore through its primary offering, comprising a fresh share sale of Rs 128 crore and an offer-for-sale (OFS) of up to 1,22,95,699 equity shares.
The IPO garnered an overwhelming subscription rate of 108.56 times overall. Qualified institutional bidders (QIBs) subscribed to their quota by 116.95 times, while non-institutional investors showed keen interest with a subscription rate of 129.81 times. Retail investors and employees also participated significantly, subscribing 54.58 times and 25.20 times, respectively.
Despite the prevailing cautious market sentiment, Awfis Space Solutions’ share price debuted at a respectable premium above its issue price of Rs 383 per share, as noted by Shreyansh V Shah, Research Analyst at StoxBox.
Awfis has demonstrated steady top-line growth coupled with diminishing losses, indicating a positive trajectory in its financial performance. In light of these qualitative factors, Shah advises investors who have been allotted shares to hold onto them for the long term.
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Established in December 2014 and headquartered in New Delhi, Awfis Space Solutions specializes in providing workspace solutions across India. Its offerings cater to diverse clientele including individuals, startups, SMEs, and large corporations. The company has expanded its services to include in-house fit-out and facility management solutions at its centers.
Managing the Awfis Space Solutions IPO are book-running lead managers IIFL Securities, ICICI Securities, Axis Capital, and Emkay Global Financial Services, with Bigshare Services serving as the registrar for the issue.
Disclaimer: Stockeasynow provides stock market news for informational purposes only and should not be construed as investment advice. Readers are strongly encouraged to consult with a qualified financial advisor before making any investment decisions.
