Shares of Route Mobile Ltd. had made a stellar stock market debut in the trading session of Monday. It was issued for Rs 350 per share which was listed at Rs 717, a premium of 104.85 per cent over the issue price.

The Initial Public Offering (IPO) offered by the company to raise a fund of Rs 600 crore was open for subscription during 9-11 September. It was subscribed 73 times within a price band of Rs 345-Rs 350 per share.

Route Mobile operates through prepaid and postpaid business models working with high margins and low-cost base. The indigenously developed CPaaS (Communications Platform as a Service) platform facilitates omnichannel communication and is scalable, with limited capital expenditure requirements.

The company between FY18 and FY20 has grown at a Compounded Annual Growth Rate (CAGR) of 37.6 per cent. Around 80.8 per cent of the company’s revenue comes from exports and the remaining 19.2 per cent from domestic clients.

The company in fiscal 2018 had generated revenue of Rs 504.9 crore from operations, Rs 844.6 crore in fiscal 2019, Rs 956.2 crore in the fiscal 2020 and Rs 309.6 crore in the three months ended June 30, 2020. The company had processed a billable transaction of more than 30.31 billion in FY20, and in the three months ended on June 30, 2020, more than 6.95 billion billable transactions were processed.

The lead managers of running the issue were ICICI Securities Ltd., Axis Capital Ltd. Edelweiss Financial Services Ltd. and IDBI Capital Markets & Securities Ltd.