By Divyansh PokharnaThe Indian stock market ended last week with a 0.6% decline in the Nifty 50, marking its second consecutive weekly drop. The mood was weighed down by the Trump administration’s announcement of reciprocal tariffs, US Fed minutes signalling a pause in rate cuts due to inflation risks, and persistent FII selling in the Indian market.
Fed Chair Jerome Powell stated, “If the economy remains strong and inflation does not continue to move sustainably toward 2%, we may hold off on cutting interest rates.” This is pressuring the US dollar and driving gold buying across exchanges. Gold hit a peak of Rs 86,549 per 10 gm on Wednesday.
The final week of February will be quiet for the mainboard segment, with no new IPO launches in the holiday-shortened week, as markets remain closed on Wednesday for Mahashivratri. However, SME action continues with three IPOs opening and three listings. Last week saw six IPO debuts, including two in the mainline segment.
Hexaware Tech and Quality Power list at a premium
Hexaware Technologies: This IT software company listed at a 5.3% premium to its issue price of Rs 708 on February 19, and is now trading 15.4% higher. Its IPO was subscribed 2.7 times.
The company provides AI-driven solutions in cybersecurity, data analytics, automation, and cloud computing. It serves clients across financial services, healthcare, manufacturing, banking, and transportation through digital platforms like RapidX and Tensai. In 9MCY24, revenue grew 13.6% YoY, while net profit rose 6%.
Hexaware and Quality Power list at a premium, while five SME IPOs debut flat
Quality Power Electrical Equipments: This heavy electrical equipment company listed on February 24 with a 1.2% gain, but is now trading 4.4% below its issue price.
The company operates in the energy transition and power technology sector, providing high-voltage electrical equipment and grid connectivity solutions. In FY24, revenue grew 21% YoY to Rs 331 crore, while net profit increased 39% to Rs 56 crore.
Meanwhile, seven SME IPOs made their stock market debut, with two listing at a premium and the rest at their issue price.
Three SME IPOs to open for subscription this week
Nukleus Office Solutions: This misc. commercial services company launched its IPO on February 24, closing on February 27, with a March 4 listing on the BSE SME. The Rs 31.7 crore issue is entirely a fresh issue, priced at Rs 234 per share. The company provides co-working and managed office spaces in Delhi NCR.
Nukleus Office leads in FY24 growth; Shreenath Paper & Balaji Phosphates lag behind
Shreenath Paper Products: This paper products company supplies paper and paper products like food-grade and adhesive paper to industries such as FMCG, textiles, and pharmaceuticals. Its IPO will open on February 25 and close on February 28, with a March 5 listing on the BSE SME platform. The Rs 23.4 crore issue is entirely a fresh issue, priced at Rs 44 per share.
Balaji Phosphates: This fertilizers manufacturer will launch its IPO on February 28, closing on March 4, with a listing set for March 7 on the NSE SME platform. It produces and supplies single super phosphate (SSP), granulated and mixed fertilizers, and zinc sulfate.
Three SME IPOs are set for listing this week
Two SME IPOs, Swastha Foodtech India and HP Telecom India, are set to list on February 28, with subscriptions closing on February 24. By day 2, Swastha Foodtech saw 3.8X subscription, including 6.4X in the retail category, while HP Telecom reached 1.2X.
Swasth Foodtech, HP Telecom IPOs sail through; Beezaasan remains underbid
Another SME IPO, Beezaasan Explotech, will close its subscription on February 25 and list on March 3 on the BSE SME platform. By the end of day 1, it received 0.4X subscription.
