ESDS Stock Continues Surge Past IPO Price
ESDS Software Solution's shares touched the upper circuit again, rising to over four times their IPO price. Strong investor demand for the company's cloud and AI infrastructure services is driving the rally.
ESDS Software Solution's stock continued its significant post-listing rally, hitting the upper circuit for the sixth consecutive trading session. The enterprise cloud and AI infrastructure provider's shares have now more than quadrupled from their initial public offering price.
The company's stock rose by 10% on the National Stock Exchange of India (NSE) to an intraday high of ₹1,740.40. By 14:00 IST, it was trading 9.7% higher at ₹1,735, still well above its IPO issue price of ₹429.
On the Bombay Stock Exchange (BSE), ESDS shares remained locked at the 10% upper circuit of ₹1,716.35, valuing the company at approximately $2.4 billion. ESDS made its debut on September 4, listing at a premium of over 74% on both exchanges.
The sharp price movement has attracted regulatory attention, with the BSE requesting clarification from ESDS. The company stated it was unaware of any undisclosed information that could explain the surge, attributing the activity to typical behavior for a newly listed security.
Founded in 2005, Nashik-based ESDS provides cloud computing, data center, and AI-led digital solutions. The company plans to use a substantial portion of its IPO proceeds to upgrade its data center infrastructure.