Now Reading: AceVector IPO subscribed 23% on Day 1, most brokerages say avoid
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AceVector IPO subscribed 23% on Day 1, most brokerages say avoid
AceVector IPO subscribed 23% on Day 1, most brokerages say avoid
Snapdeal parent AceVector's Rs 420 crore IPO was subscribed 23% at the end of the first day of bidding on September 25, receiving bids for 1.72 crore shares against 7.42 crore shares…
Snapdeal parent AceVector's Rs 420 crore IPO was subscribed 23% at the end of the first day of bidding on September 25, receiving bids for 1.72 crore shares against 7.42 crore shares on offer, according to Inc42. Retail investors led with 62% subscription, while the NII quota was booked 42%. Qualified institutional buyers (QIBs) had yet to bid for their allocation of 3.99 crore shares.
Most brokerages have given an 'avoid' rating to the IPO, Business Today reports. Concerns include persistent losses, intense competition from Meesho, Flipkart and Amazon, and a lack of near-term profitability. The company posted a net loss of Rs 45.51 crore on total income of Rs 537.67 crore in FY26. The IPO's price band is Rs 30-32 per share, valuing the company at up to Rs 1,741.4 crore. The issue closes on September 29, and shares are expected to list on October 5.
Indian Opinion Analysis
Business Today's coverage focuses on brokerages' 'avoid' ratings, leading with warnings on losses and competition. Inc42 leads with the subscription data, highlighting retail demand. The critical framing emphasises structural margin headwinds and cash burn, while the subscription update shows retail and NII interest. The balanced reading is that institutional participation, which is yet to come, will decide overall demand. The QIB bidding on September 26 will be the key indicator of whether the IPO gathers momentum or stays weak.
AceVector's IPO faces a test: brokerages flag fundamental business risks, but initial retail appetite is strong. The next two bidding days will show if that retail interest translates into full subscription, or if institutional caution prevails.
Coverage: 2 sources, 2 neutral
Sources (2): businesstoday.in (neutral report), inc42.com (neutral report)
This brief was synthesised by AI from the 2 sources linked above, so one read covers every framing they carry.
Updated: this story now draws on 2 sources.
