What is Excelsoft Technologies?
Excelsoft Technologies is a Karnataka-based vertical SaaS company focused on the learning and assessment sector.
Excelsoft technologies ipo gmp today
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It serves 71+ clients in 17+ countries, including Pearson, AQA, Ascend Learning and others.
The Economic Times
According to its DRHP, Excelsoft plans to use the IPO proceeds to build infrastructure (Mysore facility), upgrade IT systems and support general corporate objectives.
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Financially, for FY25, revenue stood at ₹233.2 crore and EBITDA grew significantly.
🧾 Excelsoft IPO Key Details
Here's what you need to know about IPOs:
IPO size: ₹500 crore.
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Latest issue: ₹180 crore; OFS (Offer for Sale): ₹320 crore.
Price band: ₹114 to ₹120 per share.
Lot Size: 125 shares (minimum subscription for retail) → Approx. ₹15,000 on the upper band.
IPO Dates: Opens on 19 November 2025, closes on 21 November 2025.
Listing date: Tentatively 26 November 2025 on NSE/BSE.
🔎 Excelsoft IPO Risks and Strengths
Strength:
Niche SaaS Focus: Vertical SaaS is a growing niche in learning and assessment, especially in the edtech world.
Strong client relationships: Long-term relationships with large clients like Pearson provide revenue stability.
Global presence: Operating in multiple geographies, helping to diversify risk.
The Economic Times
Clear use of funds: A portion of the proceeds from the IPO are earmarked for building infrastructure, upgrading IT and corporate operations.
Risk:
Customer concentration: A significant portion of revenue comes from its largest customer, Pearson, which may be at risk if contracts are renegotiated or lost.
Balance sheet liabilities: According to Samco, Excelsoft has contingent liabilities (corporate guarantees) that may pose risks.
Samco
Rapid technological change: As a SaaS company, Excelsoft's success depends on innovation. If its technology doesn't scale or adapt, there's risk.
OFS risk: A large OFS (promoter sale) may indicate limited growth capital or lack of confidence among insiders.
What is GMP today?
GMP (Grey Market Premium) refers to the unofficial premium at which IPO shares are traded in the gray market before listing. This is an unofficial indicator, and while useful, is not guaranteed.
Here are the current GMP trends for ExcelSoft:
On 17 November 2025, reports on IPO discussion forums suggest a GMP of ₹13-20.
On November 16, a post put Excelsoft's GMP at ₹120 (possibly a typo or misunderstanding, more likely ₹12), but these numbers should be taken with caution.
Explanation:
GMP of ₹13-20 means that in the gray market, people are willing to pay ₹13-20 more than the IPO price band (₹114-120) for Accelsoft shares.
If Excelsoft lists at the upper band (₹120) and GMP of ₹15, the gray market price could be around ₹135 before listing.
Risks with GMP:
GMP is irregular and volatile: it can go up or down rapidly.
It is based on demand in informal markets such as the "IPO mafia" or retail broker circles, with no guarantee of liquidity.
Listings may be at a discount from GMP, meaning there will be losses if you rely solely on gray market quotations.
💡Why there may be a rise in GMP
There may be several factors that give ExcelSoft's GMP a positive sentiment:
Strong business model: Having vertical SaaS with global customers is attractive for long-term growth.
Good financial metrics: Revenue and EBITDA growth is encouraging.
Scarcity of EdTech SaaS IPOs: Investors may get excited about a rare SaaS IPO with a niche, scalable product.
Limited OFS risk: Although there is a large OFS, the fact that the promoters are selling partly can be read in different ways – some see it as profit taking, others see it as confidence in the long-term business.
Good use of IPO funds: Investment in infrastructure and technology can drive growth in the future.
⚖️ Should retail investors consider subscribing?
Here are some key considerations for retail investors based on IPO + GMP:
Professional:
Reasonable price band for SaaS business (₹114–120).
Long-term growth potential due to edtech demand
Increase in profitability (as per latest financial data)
GMP suggests good pre-listing demand
Cons:
Gray Market is not guaranteed – Profit on listing is not guaranteed
Customer Concentration Risk (Pearson)
high contingent liabilities
If market conditions weaken, SaaS valuations may decline
Suggested Approach:
Subscribe for the long term if you believe in SaaS and Excelsoft's value proposition
Use the cut-off or upper band (₹120) for bidding – to maximize allotment and listing profit potential
Don't rely solely on GMP; Consider this a sign, not a promise
SpaceWhat to look for after allotment and listing
excelsoft technologies share price
Listing performance: How Excelsoft traded on the first day compared to its IPO price.
Lock-in expiry: Monitor when OFS shares or promoter shares are unlocked – this may impact the price.
Quarterly results: View its revenue growth, customer growth and EBITDA margin.
Use of Proceeds: Check if the company is executing its build-out plan as stated in the RHP.
SaaS metrics: Look at renewal rates, product adoption, ARR (annual recurring revenue) and churn.
Have a Clear Exit Strategy
ReplyDeleteDecide beforehand whether you’re subscribing for a short-term listing gain or a long-term investment. Set target price and stop-loss for both scenarios.