Leapfrog Engineering Services shares hit the 5% upper circuit on the Bombay Stock Exchange's SME platform on Wednesday, recovering from a weak debut that saw the stock open below its issue price.
The shares opened at ₹22, representing a 4.3% discount to the ₹23 issue price.
Despite the initial sell-off, buying interest emerged during the session, pushing the stock to the daily price ceiling.
The IPO, which closed on June 19, was subscribed 2.70 times, with proceeds earmarked for business expansion and working capital.
The volatile debut underscores the mixed sentiment currently prevailing in India's small-cap IPO market.
While some recent listings have seen modest premiums, others have faced immediate downward pressure, reflecting cautious investor appetite for smaller engineering firms.