CSM Technologies IPO Day 2 update: Subscribed 32%, GMP at 4%. Should you subscribe?

The IPO of CSM Technologies has seen a muted response on its second day of bidding, with an overall subscription of 32% against 1.11 crore shares on offer. Retail investors showed relatively stronger interest, subscribing to 53% of their allocated 44.69 lakh shares.

Market sentiment in the grey market remains mildly positive. The stock is trading at a grey market premium (GMP) of around 4%, indicating limited but positive listing expectations. Based on this, the estimated listing price is around ₹117 per share.

The IPO subscription window remains open until June 29. CSM Technologies is looking to raise ₹145.78 crore through a completely fresh issue of 1.29 crore equity shares, priced in the range of ₹107–₹113 per share.


The basis of allotment is expected to be finalized on June 30, 2026, while the shares are likely to be listed on the NSE and BSE on July 2, 2026.

CSM Technologies IPO GMP Today

Market trackers report that the CSM Technologies IPO is currently commanding a grey market premium (GMP) of ₹4 per share, reflecting a modest 3.54% upside over the upper price band. This points to an estimated listing price of around ₹117 per share, indicating mild listing gains at best.

Subscription Status (Day 2, 11 AM):

The IPO has been subscribed 32% overall, based on 1.11 crore shares on offer.

Retail Individual Investors (RIIs): 53% subscribed (44.69 lakh shares)
Non-Institutional Investors (NIIs): 61% subscribed (19.15 lakh shares)
Qualified Institutional Buyers (QIBs): No bids recorded on Day 1 for the 46.15 lakh shares reserved

Overall, the demand so far shows a mixed picture—decent participation from retail and NIIs, but a noticeable lack of institutional interest and only a small grey market premium.

About the Company

Established in 1998, CSM Technologies is a digital transformation and GovTech solutions provider offering software products, consulting, and system integration services to government bodies, public sector organisations, and private enterprises.

The company caters to a diverse range of sectors, including mining, agriculture, e-governance, public services, education, healthcare, and tourism. Its portfolio covers advanced technologies such as artificial intelligence (AI), cloud computing, cybersecurity, enterprise applications, and digital governance solutions.

CSM Technologies has a presence across several regions, including India, Africa, and North America.

Financial Performance

CSM Technologies has demonstrated consistent financial growth over the last three fiscal years.

For FY25, the company reported revenue of Rs 180.67 crore, up from Rs 167.71 crore in FY24. Profit after tax (PAT) increased to Rs 15.82 crore from Rs 12.63 crore during the same period. Earnings per share (EPS) stood at Rs 3.64 for FY25.

Based on FY25 earnings, the IPO is priced at a price-to-earnings (P/E) multiple of approximately 42.6x.

IPO Subscription View

Brokerage Swastika Investmart has maintained a "Neutral" stance on the IPO.

According to the brokerage, CSM Technologies operates in the specialised and expanding digital governance segment and benefits from established relationships with government clients. However, it highlighted that the issue is being offered at a substantial premium compared with listed peers, limiting valuation attractiveness.

The brokerage also flagged key concerns, including the company's reliance on government contracts, relatively high receivable cycles, and strong competition within the IT services sector.

Swastika Investmart noted that while the company offers exposure to the growing GovTech space, its premium valuation and execution-related risks justify a neutral investment outlook.

With the grey market premium (GMP) hovering around 4%, current unofficial market signals suggest only moderate listing-day expectations. As a result, investors may be better served evaluating the company's long-term opportunities in digital public infrastructure and enterprise technology rather than focusing solely on short-term listing gains.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)