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The year 2024 is proving to be a great year for IPO investors, this year many small and big companies launched their issues, some of which made huge profits, while some saw a decline. But a big news is coming regarding the IPO, which is no less than a shock for the investors. Actually, the listing of SME IPO Trafficsol, which opened in the month of September, was extended to the stock market and now it has been cancelled. SEBI has asked the company to return the investors’ money. Let us understand what is the whole matter?
Investors invested a lot of money
First of all, if we talk about TrafficSol SME IPO, let us tell you that the issue of TrafficSol ITS Technologies was opened for subscription on 10 September and investors had invested money in it till 12 September. The issue size of this IPO is Rs. The company has kept its price at Rs 44.87 crore. 66-70 was determined. Notably, this SME IPO received an overwhelming response from investors and was subscribed a total of 345.65 times.
Had invested so much for a lot
If you want to know more about Trafficsol IPO, the company has raised Rs. Bids were invited for 6,410,000 shares of face value Rs 10 and were bumper subscribed. The company fixed the lot size of 2000 shares and the investor had to pay a minimum of Rs. Had to invest Rs 1.40 lakh. After closing on September 12, the process of allotment and share credit was also completed. But meanwhile the company received a complaint from the market regulator and its listing was first stopped and now cancelled.
SEBI asked to return the money
BSE will take care of the refund process
On Tuesday, the last trading day, SEBI in its 16-page order informed about the cancellation of Trafficsol SME IPO and the reasons behind it. It said that following regulatory investigation, there have been indications that the third party seller (TPV) may be a shell company. Also, TrafficSol may consider a fresh proposal after SEBI finalizes the ongoing proceedings. The market regulator has clearly said that the company is directed to return the invested money to the investors.