TAC Infosec Shares List At 174% Premium Over Issue Price

SUMMARY

The Vijay Kedia-backed startup’s shares opened at INR 290 on the NSE’s small and medium enterprises platform

The stock gained further in the day and was locked at the upper price band of INR 304.50

TAC Infosec’s initial public offering saw high demand from investors and closed with 392.5X subscription earlier this week

SaaS cybersecurity startup TAC Infosec made a blockbuster debut on NSE Emerge on Friday (April 5), with its shares listing at a premium of 173.6% on the issue price of INR 106.

The Vijay Kedia-backed startup’s shares opened at INR 290 on the NSE’s small and medium enterprises platform.

The stock gained further in the day and was locked at the upper price band of INR 304.50.

TAC Infosec’s initial public offering (IPO) saw high demand from investors and closed with 392.5X subscription earlier this week. The startup said the IPO received bids worth $1 Bn.

The IPO comprised a fresh issue of 28.29 Lakh equity shares. The price band for the IPO was set at INR 100-106 per share and the startup was looking to raise about INR 29.9 Cr at the upper end of the price band.

It raised INR 8.55 Cr from anchor investors ahead of the opening of the public issue.

The startup filed its draft red herring prospectus (DRHP) with NSE Emerge in January this year.

TAC Infosec will deploy the proceeds from the IPO to ramp up hiring, fuel product development, support organic growth in the country, expand global footprint and for general corporate purposes.

Founded in 2016 by Trishneet Arora, the startup offers risk-based vulnerability management and assessment solutions, and other SaaS cybersecurity solutions to enterprises and small businesses.

It posted a net profit of INR 1.94 Cr in the first six months (H1) of the financial year 2023-24 (FY24) as against INR 5.07 Cr in the entirety of FY23. Total revenue stood at INR 5.31 Cr in H1 FY24 as against INR 10.14 Cr in the year ended March 2023.

It is pertinent to note that SME IPOs have picked up pace in the country over the last couple of years or so. As a result, a number of new-age tech startups like Yudiz Solutions and DroneAcharya Aerial Innovations have listed on the SME platforms of the NSE and the BSE, respectively.

Earlier this week, shares of fintech SaaS company Trust Fintech listed on NSE Emerge at INR 143.25 apiece, a premium of 42% over the issue price.