Unicommerce Closes IPO With 168X Subscription

On the back of a strong traction from non-institutional investors (NIIs), enterprisetech startup Unicommerce’s public issue was oversubscribed 168.3X on the final day of the bidding.

The initial public offering (IPO) saw investors bid for 237 Cr shares as against 1.4 Cr shares on offer, as per BSE data.

NIIs bid for 96.97 Cr shares of Unicommerce on the final day as against 38.41 Lakh shares on offer. This translates into an oversubscription rate of 252.46X at the end of trading today (August 8).

On similar lines, the quota earmarked for qualified institutional buyers (QIBs) was oversubscribed 138.75X. Overall, QIBs bid for 106 Cr shares as against 76.82 Lakh shares earmarked for institutional investors. 

Meanwhile, the retail portion also saw healthy traction and was oversubscribed 130.9X. Overall, retail individual investors (RIIs) bid for 33.54 Cr shares compared to 25.6 Lakh shares on offer. 

Founded in 2012, Unicommerce is an ecommerce SaaS startup that helps businesses manage inventory across all online marketplaces. It claims to be the largest ecommerce enablement SaaS platform in transaction processing in terms of revenues (in FY23). 

The SaaS platform will now list on both BSE and NSE. The startup had set a price band of INR 102-108 for the public issue. Ahead of its IPO, Unicommerce had raised INR 124.4 Cr from 14 anchor investors .

Unicommerce filed its draft red herring prospectus (DRHP) in January this year and received regulatory approval on July 1. The startup’s public issue comprised only an offer for sale (OFS) component of 2.56 Cr shares. 

Its investors AceVector Ltd (formerly Snapdeal) and SoftBank were planning to sell up to 94.38 Lakh equity shares and up to 1.61 Cr equity shares, respectively. 

The enterprise tech startup managed to further improve its financial health in the run up to the IPO. Unicommerce’s net profit more than doubled to INR 13.1 Cr in the financial year 2023-24 (FY24) as against INR 6.5 Cr in the previous year.

Meanwhile, operating revenue jumped 15% to INR 103.58 Cr from INR 90.06 Cr in FY23. 

Unicommerce’s IPO was oversubscribed 12.23X on Day 2 and 2.43X on the first day of the bidding. The SaaS startup’s IPO saw heavy traction compared to the response received by startups which went public in recent times. 

Traveltech major ixigo’s public issue was oversubscribed 98.34X while coworking startup Awfis and insurtech major Go Digit’s IPOs were oversubscribed 11.4X and 9.6X, respectively. 

This comes days after electric vehicle (EV) major Ola Electric closed its IPO with an oversubscription rate of 4.27X on the final day of bidding. Meanwhile, FirstCry’s public issue was subscribed 12.22X on its final day of bidding on August 8.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.