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Seshaasai Technologies IPO Day 3 LIVE: Seshaasai Technologies IPO has entered its last and final day of bidding today. This means investors can place bids till 5 pm to apply for the public offer.

At the end of the second day, Seshaasai Technologies' IPO received 3.09 times subscription.

Seshaasai Technologies IPO is a combination of a fresh issue of shares worth ₹480 crore and an OFS component of 78.74 lakh shares valued at ₹333 crore at the upper end. This takes the total issue size to ₹813 crore. The issue is being solid in the price band of ₹402-423 per share.

Proceeds from the fresh issue, amounting to ₹198 crore, will be allocated for the expansion of existing manufacturing units, ₹300 crore for debt repayment, and the remainder for general corporate purposes.

Seshaasai Technologies IPO GMP is ₹55 as of today. With the price band of ₹423, Seshaasai Technologies IPO's estimated listing price is ₹478, a premium of 13%.

Track this space for all the LIVE updates on Seshaasai Technologies IPO

It is one of the few vendors in India to have approved units for manufacturing of plastic cards, metal cards, sustainable cards, biometric cards, wearables, and payment stickers. (Source: F&S Report) As of March 31, 2025, it operates 24 manufacturing units across seven locations in India.

STL holds prominent position as a payment card manufacturer in India with a market share of ~31.9%. Co updates and keeps introducing latest technologies to remain relevant and maintain client concentration. Post IPO, Co will be repaying Rs. 300 cr of debt, improving its profits, and also has capacity expansion plans in place which will aid revenue growth. Co enjoys healthy return ratios and revenues/EBITDA have grown at a CAGR of 13%/34% over FY23-25. At the upper price band of Rs. 423, the issue is valued at a P/E multiple of 30.8x based on FY25 earnings and we recommend ‘Subscribe’ to the issue citing good growth opportunities ahead.

• The company derives nearly 50% of revenue from its top five customers, positioning the company towards higher concentration risk.

• Revenue concentration in few industry verticals exposes the company to potential declines in demand, which could adversely impact its business and financial performance.

• Revenue concentration in few industry verticals exposes the company to potential declines in demand, which could adversely impact its business and financial performance.

As of FY25, the company provides services to 10 of the 12 public sector undertaking banks, 9 out of 11 small finance banks, 15 of the 21 private banks, 9 out of 32 general insurance and 12 out of 24 life insurance companies in India.

On the upper price band, the company is currently valued at a P/E of 28.1x based on FY25 earnings. Supported by market leadership in payment solutions, proprietary technology platforms, scalable manufacturing capabilities, and long-standing customer relationships, we believe the company is well-positioned to capitalise on structural industry growth and deliver sustainable growth. Thus, we recommend a "SUBSCRIBE" rating for this issue from a medium to long-term perspective.

The company caters to a diverse set of customers, including prominent banks (both private and public sector), insurance companies, depositories, and fintech firms. BFSI customers are typically selective about the partners they engage with and generally seek vendors with a well-established reputation for trust and quality, along with the ability to meet stringent service requirements.

In Fiscal 2025, the company provided services to 10 of the 12 public sector undertaking banks, 9 out of 11 small finance banks, and 15 of the 21 private banks in India. Additionally, it served 9 out of 32 general insurance companies and 12 out of 24 life insurance companies during the same period.

(Source: F&S Report, RHP)

The company's business verticals comprise

At the upper price band, the company is valued at 30.8x FY25 P/E, implying a post-issue market capitalization of ₹68,441 million. They focus on end-to-end domestic manufacturing of RFID tags, devices, firmware, middleware, and IoT hardware, leveraging their technical expertise to expand production capabilities. They aim to enhance per-customer contributions by closely collaborating to provide a broader, tailored portfolio of solutions. Additionally, they plan to expand their offerings internationally, targeting the SAARC region, parts of Africa, and Eastern Europe. Considering these factors, the IPO appears fully priced and merits a “SUBSCRIBE – LONG TERM” recommendation.

The company is among the top two payment card manufacturers in India, holding a market share of approximately 31.9% in Fiscal 2025 for credit and debit card issuance, up from 25.0% in Fiscal 2023. The company has been able to retain existing customers while attracting the new one. They provide a scalable, customizable portfolio of Payment and Communication & Fulfilment Solutions serving primarily the BFSI sector, as well as other industries.

Seshaasai Technologies IPO is a mix of fresh issue of ₹480 crore and an offer for sale of ₹333 crore. The funds from fresh share sale will be used for funding capex for expansion of existing manufacturing units, repayment of certain outstanding borrowings and general corporate purposes.

Seshaasai Technologies IPO was booked 3.5x so far on the third day of the bidding process. Here's how different quotas were subscribed:

QIB: 1.13x

NII: 7.27x

Retail: 3.21x

Employee: 4.41x

We believe that the Seshaasai Technologies Ltd. offers investors an opportunity to participate in a well-established and diversified player within the high growth fintech and IT solutions sector. As a leading full-service provider of payment solutions, IoT, and communication services with a strong client base, the company is well-positioned to capitalize on the increasing digitization and demand for secure and advanced technology solutions in India.

The company has demonstrated impressive financial growth, with Revenue from Operations reaching ₹1,463.15 Cr and Profit After Tax (PAT) growing to ₹222.32 Cr in FY25. This growth is underpinned by strong profitability, as evidenced by a PAT margin of over 15% and robust return ratios (RoE of 34.84% and RoCE of 31.87%).

Valuation-wise, the company appears reasonably priced compared to its strong fundamentals and market position.

However, investors should be mindful of the intense competition in the payment solutions and IoT space, as well as the inherent volatility in client demand, which could impact the company's performance. The IPO includes a fresh issue, with proceeds earmarked for debt repayment, which is a positive sign and will strengthen the company's financial risk profile.

We recommend that investors with a medium to long-term investment horizon looking for exposure to the fintech and IT solutions sector SUBSCRIBE to the Seshaasai Technologies IPO.

Seshaasai Technologies on Monday announced raising over ₹243 crore from anchor investors, a day before its initial public offering (IPO) opening for subscription.

Nippon India Mutual Fund (MF), ICICI Prudential MF, UTI MF, Motilal Oswal MF, Sundaram MF and Tata AIG General Insurance Company featured among the anchor investors, according to a circular uploaded on the BSE website.

The brokerage firm has allotted 57.52 lakh equity shares to 17 funds at ₹423 per share, aggregating to ₹243.3 crore, it added.

The initial share sale of payments solutions provider Seshaasai Technologies Ltd received 3.09 times subscription on the second day of offering on Wednesday.

The three-day IPO got bids for 4,25,23,390 shares against 1,37,67,095 shares on offer, as per NSE data.

The quota for non-institutional investors received 5.99 times subscription, while the category for Retail Individual Investors (RIIs) attracted 2.92 times subscription and Qualified Institutional Buyers (QIBs) got subscribed 1.13 times.

Seshaasai Technologies IPO GMP is ₹55 as of today. With the price band of ₹423, Seshaasai Technologies IPO's estimated listing price is ₹478, a premium of 13%.

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