ESDS Software Solution Surges After Data Centre Debut

ESDS Software Solution is in focus after its shares surged sharply following the company’s stock-market debut earlier this month. The Nashik-based data-centre and cloud services company has seen its share price rise nearly three times in four trading sessions, prompting the BSE to seek clarification from the company regarding the unusual price movement. ESDS responded that it was not aware of any undisclosed information that could explain the sharp rise. The company had raised ₹720 crore through its IPO, which was heavily oversubscribed. ESDS operates data centres and provides cloud infrastructure and managed services, with banks, insurers, government departments and public-sector organisations among its customers. The company has also attracted attention because prominent investors Ashish Kacholia and Mukul Agrawal were shareholders following the IPO. However, the sharp rise has also pushed the stock to a high valuation, making future business execution and quarterly results important factors for the market to monitor. The company has said that there is no undisclosed material information behind the recent price movement.