Mauritius-Based Soach Global Set to Achieve 25x Returns from Upcoming NSE IPO

Soach Global is poised for a significant payday through its partial exit in the National Stock Exchange (NSE) IPO, which opened for subscription today. The fund is selling 16.5 lakh NSE shares, having initially acquired 1.5 lakh shares for Rs 3,950 each back in January 2016. Following corporate actions, Soach’s average acquisition cost has adjusted to Rs 71.8 per share. With the IPO price band set between Rs 1,700-1,785, this sale is expected to garner between Rs 280-295 crore, demonstrating a compelling return on investment for early stakeholders.

The grey market sentiment surrounding the NSE IPO appears optimistic, given the remarkable growth in share value for early investors like Soach Global. Anubhav Dayal, the Founder and Director of Soach Global Opportunities Fund, highlighted that only about 130 million of India’s 1.4 billion population are registered investors on the NSE, suggesting immense potential for future growth and participation. With a robust market structure, NSE is compared to long-held family gold, encouraging retail investors to view shares as long-term assets rather than short-term trades.

The implications of this IPO for Indian investors are significant. The NSE’s established market presence indicates a promising investment avenue, particularly for retail investors seeking participation in India’s growth story. With plans to bring more retail investors onboard, this IPO serves not just as a liquidity event for large funds but also as an opportunity for the mass population to engage with India’s expanding capital market. This move could further democratize investment and contribute to financial literacy among the younger generations.

Source: The Economic Times

(Expert Note: This report was prepared by the Wealthova IPO team.)