AceVector's Snapdeal-focused IPO lists at steep discount
AceVector's shares closed nearly 20% below their IPO price on debut despite strong subscription.
AceVector's shares closed sharply below their IPO price on their October 5 listing. The stock listed on the National Stock Exchange and Bombay Stock Exchange at an approximate 11.5% discount to the ₹32 issue price and fell further during the day.
AceVector's shares opened at ₹28.32 on the NSE and ₹28.30 on the BSE. They closed at ₹26.08 on the NSE and ₹26.10 on the BSE. This represented a closing discount of 18.5% on the NSE and 18.4% on the BSE from the IPO price. The stock hit intraday lows of ₹23.37 on the NSE and ₹23.40 on the BSE.
Subscription and investor participation
The weak debut followed robust demand during the offer period. The IPO was subscribed around 5 times overall. Investor category data reveals uneven interest.
| Investor Category | Subscription Multiple |
|---|---|
| Retail | 4.83X |
| Non-Institutional | 8.53X |
The company raised ₹189 crore from anchor investors ahead of the public issue. The only mutual funds which participated were Helios Mutual Fund and Taurus Ethical Fund.
Use of proceeds and business structure
AceVector's ₹420 crore IPO consisted of a fresh issue of ₹287 crore and an offer-for-sale of ₹133 crore. Co-founders Kunal Bahl and Rohit Bansal did not sell any shares. Proceeds from the fresh issue are allocated for specific growth initiatives.
AceVector will use ₹50 crore from fresh issue proceeds for technology infrastructure and ₹132 crore for Snapdeal’s marketing and business promotion. The remaining proceeds will fund acquisitions and general corporate purposes. In the OFS, SoftBank’s Starfish I Pte Ltd sold shares worth ₹88.3 crore, recovering just 0.08 times its acquisition cost on those shares. Individual investor Kenneth Stuart Glass booked a 5.4X return.
Business portfolio and market context
AceVector owns the marketplace Snapdeal, listed e-commerce SaaS company Unicommerce, and consumer brands business Stellaro Brands. Snapdeal now focuses on value e-commerce, with fashion contributing over 60% of its business. About 84% of its customers come from non-metro geographies.
The company faces a significant scale challenge. Rival Meesho's net merchandise value was about 38 times larger than Snapdeal's in FY26. Kunal Bahl said "the marketplace would prioritise volume growth, expansion within its existing categories, and better merchandising."
Financial performance and valuation
AceVector's financials showed improvement ahead of the listing. The company reported total income of ₹538 crore in FY26, a 32% year-on-year increase. Its net loss narrowed to ₹45 crore from ₹126 crore in FY25.
The IPO valued AceVector at ₹1,741.4 crore. By the close of its first trading day, its market capitalisation on the BSE had fallen to approximately ₹1,420.3 crore.
AceVector will use ₹50 crore from fresh issue proceeds for technology infrastructure and ₹132 crore for Snapdeal’s marketing and business promotion.
