The trading floor hummed, a low thrum of anticipation and anxiety. Capillary Technologies, a Software-as-a-Service (SaaS) company, had just entered the public market. The date: a Tuesday in late October. The place: the bustling bourses of India.
Shares listed at INR 560 apiece. Not a bang, more of a… murmur. The initial reaction? Measured. Investors seemed to be holding their breath, watching.
What does this muted debut mean? For Capillary, of course, but also for the broader SaaS landscape? The company, founded in 2012, has built its business on customer loyalty and engagement solutions. They serve a global clientele, a wide net.
I spoke with a market analyst, who wished to remain anonymous. “The valuation was always going to be the key,” they said. “The market is currently very selective about SaaS companies; profitability is the word.”
The scene shifts. A screen displays the ticker; numbers flicker. This is the reality of the market, a constant re-evaluation. The ‘why’ of the muted debut is complex. Possibly the current economic climate, or perhaps a more cautious approach to tech valuations, post-pandemic. Maybe a combination.
Consider the details: Capillary Technologies, headquartered in Singapore, but with a significant presence in India, had a lot riding on this. They’ve raised substantial funding over the years, including from Warburg Pincus.
Now what? The coming weeks will be crucial. The market will watch, and re-evaluate. The ‘where’ is clear: the exchanges. The ‘when’ is now. The ‘who’ is Capillary, and the many investors who are now along for the ride.
The long game is about execution. Can Capillary demonstrate sustainable growth? Can they navigate the changing demands of the market? The answers, as always, are in the details.
