Why has Route Mobile raised a major QIP funding from institutions?

Route Mobile has just completed raising Rs.868 crore via a successful QIP (qualified institutional placement) issue, which got a very good response. The investors in the QIP included marquee global names like Steadview Capital, Pinebridge and Kuber India Fund. Route runs a robust messaging and voice application interface and is seen as a valuable play on the digital support ecosystem.

Route Mobile had recently approached the institutional investors to invest via the QIP route with the idea being to enrich their offerings to customers. It may be recollected that Route Mobile had come out with its extremely successful IPO in September 2020 and the Rs.600 crore IPO had been subscribed 73.3 times. The stock has given multi-bagger returns and over the last 1 year, the stock is up nearly 450% from its IPO issue price.