Bengaluru-based Startup Hits IPO Jackpot; 77-Year-Old Founder Shares 'Inside Secret'!

A bengaluru-based startup employees are the happiest right now as they had a very successful IPO recently. 

The firm has been identified as Happiest Minds Technologies limited (HMTL), which is headed by Ashok Soota, a pioneer of India's information technology services industry. Till date, he has headed three outsourcing companies including one of the nation's largest, Wipro Ltd., and taken two of them public.  

As per NDTV reports, the Happiest Minds Technologies Ltd., was oversubscribed 151 times, as it was the second time this week when the initial public offering of his latest startup. The IPO got bids for 3.51 billion shares versus the 23.3 million on offer, ranking it among India's most successful first-time share sales of this decade.

“The IPO got a boost from the credibility of the founder. That added to investor confidence and led to institutional and foreign investors wanting a piece of the pie," said Abhimanyu Sofat, head of research at IIFL Securities Ltd. in Mumbai.  

The company Happiest Minds, got almost all of its revenue from digital services, it is one of two IPOs this week to woo Indian investors, NDTV further reported. 

“The oversubscription reflects the premium at which most of the Indian market is priced at. The Happiest Minds IPO pricing was quite reasonable and left something on the table for investors," said Deepak Jasani, head of research at HDFC Securities Ltd.  

Getting into the digital focus, the Happiest Minds' shares were sold in a price range of Rs.165-166 ($2.3) a piece. Meanwhile, founder Soota raised Rs.140 crore by selling part of his stake.

Currently, the sale closed on Wednesday and the shares are likely to begin trading next week.Soota, 77, founded the Bengaluru-based startup in 2011. The firm Happiest Minds expects to expand at an annualized rate of 20 percent, almost double the industry growth rate.