ESDS IPO Funds Data Centre Spend After 1.02X Opening Subscription
Inc42 reported that ESDS Software Solution’s ₹720 Cr IPO was fully subscribed within hours, with proceeds earmarked for cloud computing equipment and infrastructure at existing data centres in Airoli, Bengaluru, Mohali and Nashik.
ESDS Software Solution’s ₹720 Cr IPO was fully subscribed within hours of opening, Inc42 reported, giving the Indian cloud and AI infrastructure company early public-market demand for a fresh-issue offer tied largely to data centre spending.
By 12:27 PM IST, investors had bid for 1.26 Cr shares against 1.24 Cr shares on offer, producing an overall subscription of 1.02X based on BSE data material.
The early demand came unevenly: non-institutional investors bid for 39.76 Lakh shares against 26.47 Lakh available to them, while qualified institutional buyers placed bids for 6,154 shares against 35.29 Lakh shares in their category.
The calendar gives the offer a short public-market window: bidding closes on September 1, and the BSE and NSE listing is expected on September 4.
The ₹408-₹429 price band implies a valuation near ₹5,028 Cr, or about $526 Mn, at the top end.
The use of proceeds makes the offer a cloud-infrastructure financing story rather than only a listing update.
From the net proceeds, ₹576 Cr is allocated to equipment purchases and installation work for ESDS cloud infrastructure at data centres in Airoli, Bengaluru, Mohali and Nashik, with part of the money reserved for general corporate purposes.
Founded in 2005 and based in Nashik, ESDS sells cloud, data centre, managed-service and AI-led digital products to government and enterprise customers.
The listing attempt follows an earlier public-market plan in September 2021 that did not proceed because of the pandemic, and the company refiled its papers in March 2025.
Anchor demand preceded the public book.
ESDS collected ₹216 Cr before the IPO by issuing 50.3 Lakh equity shares at ₹429 each to 19 entities, including Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Quant Mutual Fund, ITI Mutual Fund and JM Flexicap Fund, with Bajaj General Insurance, Sanshi Fund-I, Meru Investment Fund, Cognizant Capital Dynamic Opportunities Fund and CP Capital also participating.
The financial record gives investors a profitability base to weigh against the infrastructure spend.
ESDS reported consolidated net profit of ₹120.8 Cr in FY26, more than double the ₹55.6 Cr posted in the previous fiscal year, while operating revenue rose 30.7% to ₹472.2 Cr from ₹361.3 Cr in FY25.
Operational scale remained part of the offer narrative, with ESDS claiming 2,501 customers in FY26 and average revenue per customer of around ₹19 Lakh.
The public issue now links that customer base to a funded expansion of computing equipment across four existing Indian data centre locations.
