Hexaware, Voler Car, PS Raj Steels & Maxvolt Energy Set to List on Feb 19: Check GMP & Investor Sentiment
Hexaware : As of February 19, 2025, four companies—Hexaware Technologies, Voler Car, PS Raj Steels, and Maxvolt Energy Industries—are set to debut on the stock market. Despite the anticipation surrounding their listings, the grey market premiums (GMPs) for these companies suggest a cautious investor sentiment.
Hexaware Technologies: A Tepid Reception
Hexaware Technologies, backed by US private equity giant Carlyle, launched its ₹8,750-crore initial public offering (IPO) from February 12 to 14, 2025. The IPO was entirely an offer-for-sale (OFS) of 12.36 crore shares by promoter CA Magnum Holdings, with a price band set at ₹674-₹708 per share. Investors could apply for a minimum of 21 shares, amounting to ₹14,868 per lot. The company, a global provider of digital and technology services with artificial intelligence at its core, serves a diverse clientele, including 31 Fortune 500 companies.
Despite its robust profile, the IPO received a lukewarm response, with an overall subscription of 2.66 times. Qualified institutional buyers (QIBs) showed interest, subscribing 9.09 times their reserved portion, while retail and non-institutional investors’ participation remained subdued. In the grey market, Hexaware’s shares are not commanding any premium, indicating a cautious outlook among investors.
Analysts attribute this sentiment to several factors:
- Offer Structure: The IPO being a complete OFS means no fresh capital is infused into the company, which might deter investors seeking growth opportunities.
- Sector Performance: The IT sector has experienced a downturn since mid-December 2024, with the Nifty IT index declining by 12%. This sectoral weakness reflects in investor sentiment towards IT offerings.
- Market Conditions: The broader market has been volatile, with the benchmark Nifty 50 index plunging 13.5% from its all-time high in September 2024. Such conditions often lead investors to adopt a wait-and-watch approach.
Anshul Jain, Head of Research at Lakshmishree Investments, noted, “Hexaware Technologies’ IPO witnessed a lukewarm response, primarily due to it being a complete offer-for-sale, where promoters and existing investors offloaded shares at high valuations.”
SME Segment: Mixed Reactions
In the SME segment, three companies—Voler Car, PS Raj Steels, and Maxvolt Energy Industries—are set to list on the NSE Emerge platform. Their IPOs, which ran concurrently with Hexaware’s, received varied responses.
Voler Car
Voler Car, a provider of employee transportation services to large multinational corporations, aimed to raise ₹27 crore through its IPO, offering 30 lakh fresh shares at a price band of ₹85-₹90 per share. The issue saw a strong subscription rate of 12.38 times, indicating robust demand. In the grey market, Voler Car’s shares are trading at a modest premium of approximately 2-5%, reflecting cautious optimism among investors.
PS Raj Steels
PS Raj Steels, a manufacturer of stainless steel pipes and tubes, sought to raise ₹28.28 crore by issuing 20.2 lakh fresh shares, with a price band of ₹132-₹140 per share. The IPO was subscribed 9.2 times, showcasing healthy interest from the market. However, similar to Voler Car, its shares are trading at a modest grey market premium of around 2-5%.
Maxvolt Energy Industries
Maxvolt Energy Industries, specializing in the manufacturing of lithium-ion batteries for electric vehicles, energy storage systems, and electronic gadgets, aimed to mobilize ₹54 crore through its IPO. The offering comprised a fresh issue of 24 lakh shares and an offer-for-sale of 6 lakh shares, priced between ₹171 and ₹180 per share. The IPO garnered a subscription of 3.07 times, indicating moderate investor interest. In the grey market, Maxvolt’s shares are trading at a premium of about 2-5%.
Financial Metrics at a Glance
Below is a summary of key financial metrics for the four companies:
| Company | IPO Size (₹ Crore) | Price Band (₹) | Subscription Rate | Grey Market Premium (%) |
|---|---|---|---|---|
| Hexaware Technologies | 8,750 | 674-708 | 2.66x | 0% |
| Voler Car | 27 | 85-90 | 12.38x | 2-5% |
| PS Raj Steels | 28.28 | 132-140 | 9.2x | 2-5% |
| Maxvolt Energy Industries | 54 | 171-180 | 3.07x | 2-5% |
Investor Outlook
The subdued grey market premiums suggest that investors are approaching these listings with caution, influenced by factors such as market volatility, sector-specific challenges, and the structure of the offerings. While the SME IPOs have shown decent subscription numbers, their modest grey market premiums indicate measured optimism.
As these companies make their debut on February 19, market participants will keenly observe their performance to gauge investor confidence and the broader market sentiment.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.