Innovision IPO Faces Tepid Demand on Second Trading Day Amid Persistent Weakness in Gross Margin Performance

Innovision IPO Day 2: Subscription Update

The initial public offering (IPO) of Innovision, a provider of manpower and toll plaza management services, entered its second day on March 11. The IPO, which opened for bidding on March 10, saw a tepid response from investors on the first day, with just 2% of the shares bid.

Key IPO Details

• ₹521 to ₹548 per share: fixed IPO price band
• ₹323 crore: total IPO size
• ₹255 crore: fresh issue of shares
• 12,38,000 equity shares: offer-for-sale of shares
• ₹27 per share: minimum application lot size

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Subscription Update

As of the end of the first day, the Innovision IPO was booked at 2%. The qualified institutional buyer (QIB) segment was subscribed the most at 96%, while the non-institutional investor (NII) quota saw no bids. The retail portion was subscribed at 2%.

Grey Market Premium

The grey market premium for Innovision IPO remains weak, with a nil premium according to investorgain.com. This means that Innovision shares are trading at par with the IPO price.

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Listing Date

Shares of Innovision IPO are slated to list on both BSE and NSE on March 17.

Brokerage Views

Brokerages have largely assigned an 'Avoid' rating to Innovision IPO amid high valuations and weak margins. SBI Securities noted that the issue is valued at a P/E ratio of 32.5x based on its 1HFY26 annualised earnings on post-issue capital. Swastika Investmart also expressed concerns about the IPO's valuation, citing thin margins and a commoditised business.