EMA Partners Lists at 26% Premium, Shows Mixed Performance on NSE Emerge Test

EMA Partners India Limited, an executive search firm operating since 2003, marked its entry into the public markets on Friday, January 24, 2025. The company, which has established itself as a specialized provider of leadership hiring solutions with global presence through subsidiaries in Singapore and Dubai, commenced trading on NSE Emerge amid initial enthusiasm followed by profit booking.

Listing Details

The company's market debut reflected early investor confidence but saw subsequent profit taking:

• Listing Time & Price: When trading commenced at market open, EMA Partners shares debuted at ₹156.50 on NSE Emerge, delivering an impressive premium of 26.21% to IPO investors. This strong opening indicated initial market recognition of the company's specialized recruitment capabilities and global expansion.
• Issue Price Context: The considerable premium emerged after the company had strategically priced its IPO between ₹117 and ₹124 per share, ultimately fixing the final issue price at ₹124. This pricing approach balanced institutional investor accessibility with fair value for the company's growth potential.
• Price Evolution: By 10:49 AM IST, the stock traded at ₹148.70, representing a gain of 19.92% over the issue price after touching an intraday high of ₹158.80, demonstrating some profit booking after the initial enthusiasm.

EMA Partners First-Day Trading Performance 

The trading activity showed robust participation with mixed sentiment:

• Volume and Value: Within the first few hours, 15.70 lakh shares changed hands, generating a substantial turnover of ₹24.26 crore. Notably, 100% of traded shares were marked for delivery, indicating pure investment interest rather than speculative trading.
• Demand Dynamics: The stock's trading pattern showed selling pressure with sell orders for 6.31 lakh shares with no visible buyers at current levels, reflecting profit booking interest after the strong opening.

EMA Partners Market Sentiment and Analysis

• Market Reaction: Strong opening followed by profit taking
• Subscription Rate: The IPO was massively oversubscribed by 221.06 times
• Pre-listing Interest: Anchor investors demonstrated strong confidence by investing ₹21.65 crore before the public issue

EMA Partners Growth Drivers and Challenges

Expected drivers of future performance:

• Experienced leadership team
• Long-standing client relationships
• Strong recurring business
• Cross-industry expertise
• Robust technology platform
• Global presence
• AI-driven recruitment solutions

Potential challenges:

• Industry cyclicality
• Talent retention risks
• Market competition
• Technology investment needs
• Geographic expansion costs

Utilisation of IPO Proceeds 

The ₹76.01 crore raised (₹66.14 crore fresh issue) will be used for:

• Augmenting leadership team for company and subsidiaries
• Upgrading IT infrastructure
• Repayment of office premises loan
• General corporate purposes and acquisitions

EMA Partners Financial Performance 

The company has shown strong results:

• Revenue increased to ₹68.83 crore in FY2024 from ₹51.06 crore in FY2023
• 4M FY2025 (ended July 2024) showed revenue of ₹26.33 crore with PAT of ₹4.37 crore
• Net worth of ₹57.83 crore as of July 2024
• Total borrowings of ₹7.24 crore

As EMA Partners begins its journey as a listed entity, market participants will closely monitor its ability to execute expansion plans and maintain operational metrics. The strong listing followed by profit booking suggests balanced investor perspective on the company's prospects in the executive search sector, particularly given its specialized services and global presence, though maintaining growth momentum remains a key focus area.