Zappfresh's stock dropped to a record low of ₹54.02 on September 18, closing the week down 13.43%, after CARE Ratings flagged deviations of 10% to 25% in the use of proceeds from the company’s ₹59.06 crore IPO, according to inc42.com. This marked the steepest decline among 64 new-age tech stocks tracked by Inc42 last week.
The decline followed CARE Ratings’ report on September 11 highlighting concerns over the company’s financial disclosures related to its IPO proceeds. Zappfresh’s stock closed at ₹55.06 by the week’s end. Other stocks such as ESDS and Shiprocket also saw declines, though ESDS remained trading at more than twice its listing price, while Shiprocket traded below its listing price. Meanwhile, RentoMojo debuted on September 17, listing at a premium of nearly 19%.
Investor sentiment towards new-age tech stocks remained mixed amid broader market pressures. Of the 64 stocks tracked, 30 gained between 0.18% and 7.69%, while 34 declined, with several hitting 52-week lows including Go Digit, IndiaMART, EaseMyTrip, and Menhood. In contrast, stocks like SEDEMAC, Kissht, and Lenskart reached fresh highs. BlackBuck led the gainers, rising 7.69% to ₹632.35, reflecting uneven performance across the sector.
Zappfresh’s stock performance this week underscores investor scrutiny following CARE Ratings’ report on IPO proceeds. The company’s ₹59.06 crore IPO and subsequent stock movement remain focal points for market watchers tracking new-age tech stocks in India, as detailed by inc42.com.