Amagi Media Labs IPO Debut and Market Performance

Amagi Media Labs, a notable player in the adtech sector, experienced a subdued introduction on the Indian stock exchanges on Wednesday. The shares launched at a price lower than the IPO, even though there had been substantial investor interest during the offering. The company’s shares opened at Rs 317 on the BSE and Rs 318 on the NSE, reflecting a decline of nearly 12% from the IPO price of Rs 361.

Strong Subscription During the IPO

Despite the slow market debut, Amagi’s IPO garnered extensive subscription across various categories, closing with an overall subscription ratio exceeding 30 times. This robust interest was primarily driven by both institutional and non-institutional investors. The Qualified Institutional Buyers (QIB) segment saw a subscription rate surpassing 30 times, while High Net-worth Individuals (HNIs) participated at a rate of nearly 40 times. Retail investors also showed strong engagement, with their subscriptions hitting 9-10 times during the offering period.

Details of the Rs 1,789 Crore IPO

The IPO, amounting to Rs 1,789 crore, consists of a fresh issue alongside an offer-for-sale (OFS) by existing investors. The capital raised through the fresh issue is designated for enhancing Amagi’s technology and data capabilities, expanding its international presence, and pursuing strategic acquisitions. Additionally, the OFS is designed to facilitate partial exits for both early and later-stage investors. Prior to the IPO, the company successfully secured Rs 805 crore from anchor investors.

Company Overview and Revenue Growth

Founded in 2008, Amagi operates a cloud-managed advertising platform centred around connected TV (CTV) and programmatic advertising, enabling brands to implement targeted campaigns across various streaming services. The firm generates most of its revenue from overseas markets, particularly in the United States.

Financial Performance

From a financial perspective, Amagi is on a rapid growth trajectory. For the fiscal year ending March 2025 (FY25), the company reported an impressive revenue of approximately Rs 1,162 crore. In the first half of the current fiscal year (H1FY26), Amagi achieved a revenue of Rs 706 crore, alongside a profit of Rs 6.5 crore.

Current Market Standing

As of the latest update (10:54 AM), Amagi is trading at Rs 349 per share, with a total market capitalisation of Rs 7,570 crore, equivalent to $841 million.