Amagi Media Labs IPO gets 6% subscription on Day 1

New Delhi: The initial public offering of Amagi Media Labs Ltd, a cloud-based software-as-a-service (SaaS) company that enables media firms to stream and monetise digital video content, received 6 per cent subscription on the first day of bidding on Tuesday.

The IPO received bids for 17,46,600 shares, against 2,72,66,589 shares on offer, according to NSE data.

Retail Individual Investors (RIIs) received 28 per cent subscription, while the non-institutional investor category received 4 per cent subscription.

Amagi Media Labs on Monday said it has raised about Rs 805 crore from anchor investors, including SBI Mutual Fund, ICICI Prudential Mutual Fund, and HDFC Mutual Fund.

The anchor round saw participation from a mix of domestic and overseas funds as well as long-only insurance companies.

Among them, SBI MF, ICICI Prudential MF, and HDFC MF together accounted for about 40 per cent of the total anchor allocation.

The IPO will close on January 16. The price band for the issue has been fixed at Rs 343 to Rs 361 per share, valuing the company at over Rs 7,800 crore at the upper end of the band.

The Bengaluru-based company's IPO comprises a fresh issue of shares worth Rs 816 crore, along with an offer-for-sale (OFS) of 2.7 crore shares valued at Rs 972.6 crore at the upper price band by existing shareholders. This takes the total issue size to Rs 1,788.6 crore.

Proceeds from the fresh issue of Rs 550 crore will be used to strengthen Amagi's technology and cloud infrastructure, fund inorganic growth through acquisitions, and meet general corporate expenses.

These funds will be deployed in phases, with Rs 82 crore earmarked for FY26, Rs 359 crore for FY27, and Rs 108 crore for FY28.

Founded in 2008, Amagi is backed by marquee investors such as Accel, Avataar Ventures, Norwest Venture Partners, and Premji Invest.

The company works with over 45 per cent of the top-50 listed media and entertainment companies in India by revenue.

The SaaS firm connects media companies with audiences using cloud-native technology, enabling the delivery and monetisation of video content across smart TVs, smartphones, and digital platforms. Its operations are organised into three core segments -- cloud modernisation, streaming unification, and monetisation and marketplace.

The book-running lead managers to the issue are Kotak Mahindra Capital, Citigroup Global Markets India, Goldman Sachs (India) Securities, IIFL Capital Services, and Avendus Capital.