IPO Update: Xelpmoc Design debuts at a discount

Latest IPO Xelpmoc Design & Tech Limited listed on BSE at a 15 per cent discount at Rs. 56 per share compared to the higher end of its issue price of Rs. 66 per share. In the afternoon session, the stock recovered and was quoting Rs. 58 per share, down 12 per cent from its issue price. 

The stock of Xelpmoc Design was admitted under the T Group securities. Under this category, the securities are settled on a trade-to-trade basis, meaning no intraday trade are allowed as a surveillance measure.

The Rs. 23 crore IPO of the start-up IT consultancy company was subscribed 3.25 times. The IPO was for upto 2,30,000 equity shares. The price range for the issue was Rs. 62 to 66 per share with Rs. 3 discount for retail investors. 

Xelpmoc is a three-year-old start-up providing professional and technical consulting services including mobile and web development, data science and analytics. The company's clients include entrepreneurs, start-ups and established companies. The company plans to use the net proceeds of the issue for business expansion and for the same procure IT hardware and network equipment’s for existing and new development centres in Kolkata and Hyderabad, besides funding working capital need and general corporate purposes, according to its Red Herring Prospectus (RHP).