US-based venture capital firm Celesta Capital has sold a substantial portion of its shares in IdeaForge. On Tuesday, the Port Louis-registered Celesta Capital II Mauritius fund executed a bulk deal, offloading 357,600 shares at Rs 768.08 each, amounting to a total transaction value of Rs 27 crore, according to data from the National Stock Exchange (NSE).
The sale was first reported by Inc42, highlighting the significant movement in IdeaForge’s stock. Following the transaction, the company’s shares experienced a decline of up to 5%, settling at Rs 805.25 apiece by the end of trading on Tuesday.
Founded in 2007 by IIT Bombay graduates Ashish Bhat, Ankit Mehta, Rahul Singh, and Vipul Joshi, IdeaForge has established itself as a prominent player in the unmanned aircraft systems (UAS) market, focusing on applications such as surveillance, mapping, and surveying. The company’s reputation and expertise have attracted several marquee investors, including Qualcomm Asia Pacific, Infosys, and Celesta Capital.
IdeaForge made its public debut in July 2023, raising over Rs 500 crore through an initial public offering (IPO) that saw overwhelming demand. The IPO was oversubscribed 106 times, indicating strong interest from both institutional and retail investors. The shares were listed at a premium of 94% on the stock exchanges, opening at Rs 1294.95 on the National Stock Exchange.
Despite the initial high valuation, IdeaForge’s shares have since experienced a significant drop, now trading at a 37% discount from their listing price. This decline has been a point of concern for investors and market watchers alike.
In response to the recent share sale and market performance, a spokesperson for IdeaForge stated, “The company remains focused on its strategic goals and continues to invest in research and development to drive innovation in the UAS sector. We are confident in our long-term growth prospects and remain committed to delivering value to our shareholders.”
Celesta Capital’s decision to sell a portion of its holdings comes as part of a broader strategy to rebalance its investment portfolio. A representative from Celesta Capital remarked, “Our investment in IdeaForge has been fruitful, and we believe in the company’s potential. This transaction aligns with our investment strategy and does not reflect a lack of confidence in IdeaForge’s future.”