Virtual Galaxy Infotech IPO Day 4 update: Subscription rises 36x, GMP 56%

Virtual Galaxy Infotech IPO Day 4 update: The initial public offering (IPO) of Virtual Galaxy Infotech has received a solid response from investors so far. The issue has been subscribed around 36.8 times as of 10.18 AM on Wednesday, May 14, according to NSE data. 

 

The subscription was led by non-institutional investors (NIIs) who subscribed to the issue 84 times, followed by retail investors at 41 times. However, the portion reserved for qualified institutional investors was booked only 3.40 times. The issue opened for public subscription on Friday, May 9 and will close today, May 14. 

 

Virtual Galaxy Infotech IPO GMP

According to the sources tracking unofficial markets, the unlisted shares of Virtual Galaxy Infotech were trading at ₹222 in the grey market on Wednesday, commanding a premium of ₹80 or 56 per cent against upper end price of ₹142.

 

Virtual Galaxy Infotech IPO details

Virtual Galaxy Infotech aims to raise ₹93.29 crore through a fresh issue of 6.57 million equity shares. The basis of allotment of shares is expected to be finalised on Thursday, May 15, 2025. Shares of Virtual Galaxy will list on the NSE SME platform tentatively on Monday, May 19, 2025, according to the red herring prospectus (RHP). 

 

The company has set the price band in the range of ₹135-₹142 per equity share. A retail investor would require a minimum investment amount of ₹1,35,000 to bid for one lot comprising 1,000 shares. The minimum investment amount required for high-net-worth individuals (HNIs) is ₹2,84,000 for a minimum of two lots. 

 

Maashitla Securities is the registrar of the issue. Smart Horizon Capital Advisors serves as the sole book-running lead manager for the Virtual Galaxy Infotech IPO.

 

According to the RHP, from the net issue proceeds, the company plans to use ₹34.36 crore for setting up an additional development facility in Maharashtra's Nagpur, ₹3 crore for repayment or prepayment of certain borrowings availed by the company. Apart from that, ₹5.05 crore will be used for procuring GPU, server & storage system at the data centre, ₹18.90 crore for enhancement, maintenance and upgradation of existing products through manpower hiring, and ₹14.06 crore for business development and marketing activities. The remaining funds will be used for general corporate purposes. 

 

About Virtual Galaxy Infotech

Incorporated in September 1997, Virtual Galaxy Infotech is an IT services and consulting firm based in Nagpur, Maharashtra. The SaaS product-focused company provides core banking software solutions, IT solutions, ERP implementation and customised software solutions development, and IT services for the BFSI, ERP, and E-governance domains. It is engaged in the development, customisation, installation, and implementation of software applications, post-implementation support, monitoring and maintenance services for the delivered solutions.  The company caters to banks, microfinance institutions and non-banking financial companies (NBFCs).