Globtier Infotech’s shares tank 20 pc on market debut, investors suffer big losses

Globtier Infotech’s stock debut proved lackluster on the BSE SME platform Tuesday, plunging 20% below its issue price. Scrips opened at ₹57.60 versus the IPO price of ₹72, translating to immediate investor losses of ₹14.40 per share.

Investors purchasing the minimum two lots faced losses approximating ₹46,080 shortly after listing. The stock continued its downward trajectory, triggering a 5% lower circuit at ₹54.72.

This underwhelming debut followed tepid subscription figures for the ₹31.05 crore IPO, which combined fresh issuance with an offer for sale. The offering garnered merely 1.34 times overall subscription.

Retail investor participation showed modest demand at 2.04 times subscription, while non-institutional interest remained subdued at 0.63 times. The IPO, active from August 25-28 at ₹72/share, finalized allotments on August 29.

Minimum investment requirements stood at ₹2.30 lakh for two lots (3,200 shares). Proceeds from the fresh issue were earmarked for working capital, debt repayment, and general corporate needs.

Headquartered in Noida, Globtier specializes in managed IT services and SAP support. The company maintains a business continuity center in Bengaluru, positioning itself as a provider of customized IT solutions for diverse industries.

Inputs courtesy of IANS