ESDS Software Solution raised ₹216 Cr from anchor investors, including Motilal Oswal, Bandhan, Quant, ITI, JM Financial and Samco funds
Domestic mutual funds accounted for nearly 82% of the anchor book, signalling institutional interest ahead of the cloud and data centre company’s ₹720 Cr IPO
ESDS allotted 50.35 Lakh shares to 19 funds and entities at ₹429 apiece, the upper end of its IPO price band
Cloud and data centre company ESDS Software Solution has raised ₹216 Cr from anchor investors ahead of the opening of its ₹720 Cr initial public offering (IPO).
In its filings with the BSE, the Nashik-based company said that it allotted 50.3 Lakh equity shares to 19 entities at ₹429 apiece, the upper end of its IPO price band.
Domestic mutual funds lapped up 41.26 Lakh shares worth nearly ₹177 Cr, accounting for 81.94% of the total anchor allocation. Overall, six domestic mutual funds participated through 13 schemes.
The anchor round saw participation from Motilal Oswal, Bandhan Mutual Fund, Quant Mutual Fund, ITI Mutual Fund, JM Flexicap Fund, among others. Other anchor investors included Bajaj General Insurance, Sanshi Fund-I, Meru Investment Fund, Cognizant Capital Dynamic Opportunities Fund and CP Capital.
ESDS Software Solution’s IPO will open for subscription tomorrow and close on September 1 (Tuesday). ESDS’ shares will tentatively list on the BSE and NSE on September 4 (Friday).
The public issue comprises entirely a fresh issue of shares worth up to ₹720 Cr, with no OFS component. At the upper end of its ₹408-₹429 price band, ESDS is seeking a valuation of about ₹5,028 Cr (about $526 Mn).
ESDS plans to deploy ₹576 Cr from the net proceeds towards purchasing and installing cloud computing equipment and other infrastructure at its existing data centres in Airoli, Bengaluru, Mohali, and Nashik. A chunk of the fresh proceeds will also be used for general corporate purposes.
Notably, this is not ESDS’ first attempt at an IPO. It first sought to list on the public markets in September 2021, but did not proceed with the issue due to the pandemic and ended up re-filing its papers in March 2025.
Founded in 2005 by Piyush Somani, ESDS offers cloud infrastructure, managed services, data centre services, and SaaS products. It operates five data centres in Navi Mumbai, Nashik, Bengaluru, Mohali, and Noida.
The company’s business is structured in three service lines. Under infrastructure-as-a-service (IaaS), it offers cloud and colocation services, while its managed services vertical entails providing IT infrastructure, cloud, security, and operational support on a contract or subscription basis.
While IaaS drove 44% of its revenue and managed services contributed 41%, the remainder of its revenue was generated by its software as a service (SaaS) offerings.
On the financial front, the company reported a consolidated net profit of ₹120.8 Cr in FY26, up more than double from ₹55.6 Cr in the year-ago fiscal. Meanwhile, its operational revenue rose 30.7% to ₹472.2 Cr in the fiscal under review from ₹361.3 Cr in FY25.
On the operational front, ESDS claims to have served 2,501 customers in FY26, with an average revenue per customer of around ₹19 Lakh.
Source: Inc42
