Virtual Galaxy Infotech IPO: Date, Price And GMP

Virtual Galaxy Infotech IPO- Complete Overview

Virtual Galaxy Infotech IPO under the SME IPO category is a book build issue of Rs. 93.29 Cr by Virtual Galaxy Infotech Limited and founded in September 1997. The company is an IT services and consulting firm situated in Nagpur, Maharashtra, India.

VGIL engages in the conception of software products and services across a range of sectors, including Banking and finance, ERP, e-government, Web Services, Cloud Computing, Big Data, IoT, and System Integration.

The company has successfully delivered advanced technology enablement to more than 5,000 bank branches, manufacturing companies, and business houses. They focus on transaction automation, customer service delivery, compliance, and decision support.

The flagship product of the company is "e-banker," a total Core Banking Solution meant to meet the dynamic techno-financial environment of banking institutions. Employing more than 300 professionals, the company delivers quality software solutions to its clients.

Besides creating software solutions, VGIL provides support services to different organizations, bank outlets, manufacturing establishments, and business establishments to empower them with good technology services to enable them to prosper in today's rapidly evolving world of digitization.

The company serves clients in more than 15 Indian States.

 

 

Virtual Galaxy Infotech IPO Overview

The Virtual Galaxy Infotech IPO date is on 09 May 2025, and its initial public offering will end on 14 May 2025. 

The Rs. 93.29 crore new SME IPO comprises a fresh issue of 65.70 lac Shares. 

This upcoming IPO is available from May 09 to 14 May, 2025. The Virtual Galaxy Infotech IPO price is Rs. 135 to Rs. 142 for each Share. 

The expected Virtual Galaxy Infotech IPO listing date is May 19, 2025, and listing at the NSE and SME.

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Company Financial

(Amount in Lac)

 

Cash Flows

(Amount in lac)

 

Revenue Bifurcation

Govt/Non-Govt Sector-wise breakdown

 

Product-wise breakdown

 

Sales-wise breakdown

(Source: RHP)

 

The Objective of the Issue

The company desires to use the Net Proceeds from the Issue to fulfill its following goals:

• Prepayment or payback of some of the company's borrowed funds.

• Capital investment for the construction of new development facilities in Nagpur, Maharashtra.

• Investment in acquiring a data center's server, storage system, and GPU.

• Financing costs associated with maintaining, improving, and updating current items via employing personnel.

• Funding for marketing and commercial development initiatives.

• General corporate purposes.
  
  

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Peers of Virtual Galaxy Infotech Ltd.

 

Evaluation

The Virtual Galaxy Infotech Limited IPO price is Rs. 135 to Rs. 142 for each Share.

Evaluation of P/E Ratio

Considering the FY ended 31 Mar 2024 with an EPS of Rs. 9.88 from the last year, the resulting P/E ratio is 14.37x.

Considering the weighted EPS of Rs. 5.43 for the last three years, the P/E ratio is 26.15x.

 

Manoj Jewellers IPO last date to apply is 07 May, 2025.

 

Comparative Analysis With Listed Peers

The average P/E Ratio of the industry is 141.82.

In simple words, the P/E ratio of this IPO (14.37x), compared with the industry’s average P/E of 141.82x, has an undervaluation (on a P/E ratio basis only). Hence, the price of the Share seems fairly priced for the investors when considered based on the average P/E ratio of the industry.

IPO's Strengths

• Providing integrated software solutions to the financial services and banking industries.

• Diversifiable business across several verticals.

• Diversified streams of revenue.

• Recurring and non-recurring repeat revenues from long-standing relationships with the client.

• Experienced promoters and a senior management team with strong industry expertise and a proven track record.

 

IPO’s Weaknesses

• This company relies principally on a few clients that contribute most of its revenues. The loss of any of these clients would adversely affect the business, its financial condition, and results of operations.

• It has requirements for working capital. Any inability to maintain adequate working capital will affect the company's operations and future growth prospects.

• The company is under various laws and regulations. Failure to comply with those regulations may lead to penalties or restraining orders that curtail the activities of such business entities.
  
  

Virtual Galaxy Infotech IPO GMP

Virtual Galaxy Infotech IPO GMP has not started as of 06 May 2025. Hence, its estimated listing price is Rs. 142.

IPO Timetable (Tentative)

The Virtual Galaxy IPO date of subscription is May 09 to May 14, 2025, allotment on May 15, refund initiation on May 16, and listing on May 19, 2025.

 

Virtual Galaxy Infotech IPO Details 

The IPO with a Face Value of Rs. 10 per share offers a total issue size of 65,70,000 Shares (Rs. 93.29 Cr).

IPO Lot Details 

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (1000 Shares) amounting to Rs. 1,42,000 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (2000 Shares) amounting to Rs. 2,84,000.

Srigee DLM IPO can be applied till 07 May 2025.

 

IPO Reservation (% of Net Issue)

 

Promoters And Management of Virtual Galaxy Infotech Ltd.

• Avinash Narayanrao Shende.

• Sachin Purushottam Pande.

 

IPO Lead Managers

• Smart Horizon Capital Advisors Private Limited.
  
  

Dividend Policy

The company hasn’t paid a dividend in the last three fiscal years. 

 

 

 

Conclusion

The Virtual Galaxy Infotech IPO presents an interesting opportunity in the SME segment with strong financial growth and diversified services in the BFSI sector. It continues to have a solid clientele and a reasonable P/E ratio, thus it appears to have bright future prospects.

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

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To Read the Prospectus of the Company Click Here to Download the DRHP.

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DISCLAIMER: This blog is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions.