Blogs, insights, guides and videos on India's unlisted market — all in one place.
<div class="gmail_default"> Aptus Value Housing Finance is all set to launch its IPO in next few weeks as the company has received the green signal from markets regulator Securities Exchange Board of India (SEBI). The housing financer has filed its draft red herring prospectus (DRHP) with the market watchdog SEBI in May 2021, and has now received the nod to float initial public offer (IPO). Aptus Value Housing is backed by marquee investors like Westbridge, Malabar Investments, Sequoia Capital, Steadview Capital, Madison India. The HFC is expected to raise around Rs 2,600-3,000 crore from the primary market. According to the DRHP filed by the company, the primary offer will consist of issuance of fresh equity worth Rs 500 crore, of face value Rs 2 each and existing shareholders and promoters will offload 64,590,695 equity shares from their stake. Shareholders including Padma Anandan, Westbridge Crossover Fund, Aravali Investment Holdings, JIH II, GHIOF Mauritius, Madison India Opportunities IV, KM Mohandass HUF, R Umasuthan and Saurabh Vijay Bhat will offload their stake. The company will utilise the net proceeds from the issue towards augmenting the capital base of the company and meet future growth requirements. The company has decided to allocate 50% of the net offer to Qualified Institutional Buyers (QIBs) and 15% to non institutional investors (NIIs). Remaining 35% of the issue will be allocated to retail individual bidders (RIBs). The company will allocate a portion of equity shares to eligible employees. However, the quantum of their allocation in the issue has not been specified further. The company claims to have a pristing asset quality with very low NPA (nonperforming assets), since its inception in 2010 and till December 2020. The company had an asset under management (AUM) of Rs 3,791 crore as of December 31, 2020, of which 72.5% loans were given to self employed individuals and salaried individuals constituted for remaining 27.5% loans. As of December 31, 2020, Aptus Value Housing's net NPA stood at 0.57%, capital adequacy at 75.03%, and collection efficiency at 99.2%, the company said in its press release. The company has appointed ICICI Securities, Citigroup Global Markets India, Edelweiss Financial Services and Kotak Mahindra Capital Company to manage the issue. KFin Technologies has been appointed as the registrar of the issue. </div>
<div class="gmail_default">Tata Technologies, a Tata group company, is technical services provider in multiple industries like engineering and design, product lifecycle management, manufacturing, product development, automotive, and aerospace among others. Tata Technologies reported a manifold jump in the profit after tax (PAT) to Rs 72.3 crore in the quarter ended on June 30, 2021, as against a PAT of Rs 15.2 crore in the same quarter in the previous fiscal. However, the net profit of the company declined over 26% on a sequential basis, as it had posted a profit of Rs 98 crore in the March 2021 quarter. Founded in 1989, Tata Technologies is a subsidiary of Tata Motors, which primarily operates in North America, Europe, the Middle East, and the Asia Pacific region. Tata Technologies is headquartered in Singapore, with regional offices in the United States (Novi, Michigan), India (Pune) and the UK (Warwick) with a combined global workforce of more than 8,500 employees serving clients worldwide.</div> <div class="gmail_default"></div> <div class="gmail_default">In August 2005, Tata Technologies acquired INCAT International, a UK-and US-based automotive and aerospace puter engineering company for £53.4 million. INCAT was established in 1989. The company's total revenue jumped 42.5% to Rs 707.5 crore in Q1 FY22, as against 496.4 crores in Q1 FY2020. The company's income rose by 4.5% on a sequential basis from Rs 676.4 crore in the last quarter of the financial year 2020-21. The company has reported higher expenses during the period under review. The cost of products has doubled in the last one year, whereas the employee cost has jumped over one-fourth in the last four quarters, the data suggests. The company boasts a rich dividend-paying history. Barring the financial year 2018-19, the company has paid a dividend of more than Rs 30 per share. In FY 2018-19, it paid a dividend of Rs 15 apiece.</div>
"Is it safe to buy unlisted shares?": The biggest question among the investors who think of buying Pre-IPO equity from the unlisted market, but take a step back when the deal is about to be done. Recently the curiosity has grown manifold among the investors to buy unlisted shares. The astronomical returns of the pre-IPO equity have dwarfed the performance on broader markets, which now have limited pockets of valuation comfort. However, the huge demand in the unlisted market has turned unlisted shares expensive too. The success story of unlisted markets is not very new. The industry is more than a decade old, but multiple players have mushroomed in multiple cities, attracting novice investors. However, the industry is not regulated and completely works on the trust factor. In the unlisted markets, investors can find shares of the usual sectors like chemical or financial companies and some of the unique players like unicorn stocks and IPL teams. The best part of unlisted markets is that they bring the Pre-IPO equity to the hands of the retail investors, who can actually make good money, the step in at the right time. Shares of unlisted companies especially the new-age companies in financial services, e-commerce, non-bank finance companies (NBFC) are on the watchlist. Some of the shares of unlisted companies that are traded include HDFC Securities, HDB Financial, Hero Fincorp, Chennai Super Kings, Anand Rathi Wealth Management, B9 Beverages (Bira Beers), Mohan Meakin (Old Monk), One97 Communications (Paytm), along with more than 160 other players. Before investing in the private equity market, investors should understand what an unlisted market is and evaluate whether it is safe to buy unlisted shares or not. Let us have a look at how investing in an unlisted market is different from main market transactions. <strong>Off Market vs Market Transactions</strong> Any exchange of shares is done when there is a buyer and a seller of shares of a particular company. The main market transactions are carried out via exchange which indeed is a market, where buyer meets seller. However, the things are kept anonymous as one can not find out who sold or bought shares from whom. In the private equity markets, the transactions over the counter (OTC) in nature are accepted by the depository system in India. They are called 'off market' transactions as the deal can be done any time during the day and shares can be transferred from one account to another. In such cases, investors know who is the seller of the counter and the selling person or entity is aware of the buyers' identity as well. One should note that deals in unlisted markets are legitimate and the transfer of ownership is done in Demat account only. <strong>How do you buy unlisted shares?</strong> Buying unlisted shares of a company has become very much easier for investors nowadays. However, the ticket size of investment is usually higher and the price of the share is decided by market demand, future outlook, and buzz of the company. Retail investors, like private equity funds and venture capitalists, can buy shares in the desired quantity. However, investors should always opt for reliable dealers or sellers in the unlisted market. To get the deal done, investors need to simply pay the amount to the trusted dealer from the bank account of the Demat account holder and the shares are transferred by the dealer. One can check the transferred shares in his depository partner account. <strong>Why do we need an unlisted market?</strong> Unlisted markets give liquidity to existing shareholders. More often than not, companies offer shares to eligible employees under the stock option plans, also known as ESOPs. Such employees look for a market to exit their position at a good valuation. Thus private equity markets come into the picture as their savior. On the flip side of the coin, investors are also willing to invest in companies at a nascent stage, when they are growing rapidly and their business is flourishing. However, the companies in their initial years are very much risky. But they also demand a market, to test waters for themselves. <strong>Is it safe to buy unlisted shares?</strong> Buying unlisted shares does not guarantee sure-shot prosperity to the investors. Investors would find more companies in the unlisted space as a wealth creator but that does not mean that you will find a gem all the time. One should not buy copper at the price of gold. Investors should understand that unlisted space requires patience, trust, and a longer time horizon as the company grows over into a successful venture if neutered properly. This market is not for traders or impatient buyers, who dream to become millionaires overnight. Additionally, finding the fair value of shares of unlisted companies is a big challenge, as just annual results and commentary from company management limit the information available for investors. Another big challenge for the industry is a huge mismatch between demand and supply. Various Alternative investment funds (AIFs) have entered the space, with big-ticket size, offering the shares to wealthy investors. This scarce the availability of shares for the smaller investors, who dreams to make it big someday. Another problem for investors appears when they wish to liquidate their position. Here is when the integrity of the deal comes into the picture. If you have good dealers in your connect, they will give you justified prices for your position in the company. UnlisedZone.com is a name, which has set new benchmarks for the industry, turning into a pioneer within few years. In the financial markets, one man’s trash is another man’s treasure. If an investor is badly stuck with investments and is in need of money, then there is a chance that he/she would not mind exiting even at a 20% discount to the fair value. Taxation on shares of companies that are not traded on recognized stock exchanges has higher rates of taxation. Also, holding these shares in a Demat account has its own cost. We can conclude that it is completely safe to buy unlisted shares if the investor has gone through the required process of unlisted shares that require a process of due diligence. Unlisted markets are riskier, but of course, more risk leads to more rewards. If you are willing to invest in the pre-IPO markets, it should be a small part of their portfolio. If you’re vigilant, patient, and have the money to spare there could be a fortune. But there’s no guarantee that you’ll make it here.
If you are born in the ’80s and ’90s and grew up in India, you have plenty of things which make your childhood memories so special and one of them is the jingle you heard or seen “Mango Frooti, Fresh and Juicy” during every TV commercial or on any other print media ad. Sipping the extracts of mango juice in a green and yellow color Tetra Pak of Frooti is among one of the sweetest memories of our grown-up days. Parle Agro, a well-known and homegrown FMCG in the wide range of food and like Parle biscuits, Frooti, Appy Fizz, etc. that have been enjoyed not only in India but everywhere across the World. Today Parle Agro is among one of the most trusted brands for the consumers in its segments. The Indian food and beverage company, giving cutthroat competition to global giants like PepsiCo and Coca-Cola, the brands which have been popular throughout the world, penetrating almost every household on the planet. <strong>Foundation and Roots</strong> Parle Agro, a domestic leader company, was established in 1984. Parle Agro and Parle Products are sister concerns. Mumbai's well-known Chauhan family established the roots of Parle Products in 1929. The family, based out of Vile Parle, Mumbai (then Bombay) later divided the business into three separate and non-competing business entities, namely Parle Products (in the 1950s) which was led by Vijay, Sharad, and Raj Chauhan (brands like Parle-G, 20-20, Milkshakti, Melody, Mango Bite, Poppins). The second segment was Parle Agro (in the 1960s), led by Prakash Chauhan and his daughters Schauna and Nadia (owning brands like Frooti, Appy, and Bailey) Parle Bisleri, in the 1970s was led by Ramesh Chauhan. Each product is organic in nature. The millennials are very much familiar with the jingle, which later became the tagline for frooti- "Mango Frooti, Fresh and Juicy", thanks to commercial television, which was on boom during that era. Sipping the extracts of mango juice in a green and yellow color Tetra Pak of Frooti is among one of the sweetest memories of their growing-up days. Today Parle Agro is among one of the most trusted brands for the consumers in FMCG products. They are the largest Indian food and beverage company and a well-established name in the world. <strong>Evolution of Parle Agro</strong> Since its inception in 1984, Parle Agro started its operations with Prakash Chauhan in command with his two daughters, Schauna and Nadia- joining the business too. Both of the female talents were highly skilled but could be distinguished from each other on the basis of ability, education, and interest. However, the duo drove the same vision and mission of making Parle a huge success. The daughters due of Chauhan were inducted into the business at early stages They began to live, eat, dream and breathe Parle agro. Discussion elevated them from family dinner tables to the company board. Schauna joined the company in 2002, and Nadia followed in her footsteps entering in 2006. Their father, Prakash Chauhan, had defined clear roles for them in the business. Schauna became the CEO of the company, taking charge of operational execution. On the other hand, Nadia was pushed as joint managing director and chief marketing officer at Parle Agro. <strong>A step ahead</strong> Being a market leader, Parle Agro has become synonymous with being first. It took the first mover's advantage as the Frooti in Tetra pack, the Launch of apple nectar, Appy, and Introducing Appy Fizz- the sparkling apple juice. Today, the company has diversified into various areas like confectionery, fruit juices, and baked snacks, and rapidly expanding its presence throughout the globe in about two dozen countries. A very few FMCG have seen this kind of success with the launch like Parlé Agro has with its packaged fruit drink, Appy Fizz, which not only creates this segment itself but also dominated it with a steep growth of 70% and a compound annual growth rate of 36% over the past four years. In 2018, its power brand Frooti grossed a revenue of Rs 22,000 million, and Appy clocked sales of Rs 7,000 million. Frooti is growing at a pace of 25% and aims to be doubled in the next 2-3 years. <strong>The success fizz of Appy</strong> Appy Fizz is a testimony of success in itself. Launched in 2005, a non-compete with Coke for a certain amount of time and then they made a comeback carbonated beverages. The idea was not to do it with another cola. This led to a series of experiments, innovations and launched Appy Fizz. Parle created packaged apple juice, which was not available as a category or a product then. Appy was a top-notch innovation, in terms of technology and manufacturing, which took its time to settle down. Today it is among the fastest-growing beverage brands and a favorite among noncola lovers. According to a report of Fortune India, which attributes to Nadia, said that the category did not exist earlier and the company was a numero uno player in the fruit beverage segment. Thus everyone wanted a product similar to frooti. Immediately after Parle kicked off with Appy, Coca-Cola, and Pepsico, both tried their hands in their own sparkling fruit-based brands. Both followed the suit but failed. Even Dabur also tried, but that lasted only six months maximum. And of course a whole host of local brands- there are more than hundreds of products that have got exactly app's branding and bottle design. It is a great sign to measure success. Initially started as a product, focused on the top segment of the outlets as it was a premium then. However, the company's success comes with a caution to grow leaps and bounds. But today, appy has its own market in urban, semi-urban, and rural markets, featured as one of the country’s fastest-growing brands in its category. It still has tremendous potential. <strong>Business verticals and facilities</strong> Parle Agro also has a dozen beverage manufacturing facilities and 56 bottling plants for bottled water brand 'Bailey' in Maharashtra, Gujarat, Haryana, Karnataka, Uttar Pradesh, Madhya Pradesh, Odisha, Uttrakhand, Chhattisgarh, and others. It operates under three major business verticals as Beverages(including fruit drinks, nectars, juice, sparkling drinks) Water (packaged drinking water) and Food products (Hippo, toffee, buttercup products, biscuits). Beverage can be pointed out as the cash cow of the company, which contributes more than three-fourth of the company's revenue. The company has a solid network of more than 1.2 million outlets across the country. Moving with this aggressive growth strategy, the company is aiming to significantly increase distribution and penetration of these two super brands, Appy Fizz and Frooti, and promote sales with innovative packaging, and aggressive pricing. <strong>Looking at the Future:</strong> Parle Agro has been dominating the fruit drinks category in the country for more than about four decades and has always been led by innovations, announcing its diversification into the Dairy Category. The move is driven by years of devoted in-depth research and development (R&D), comprehensive investment in contemporary and innovative technologies to build a vigorous dairy infrastructure and introduce new and unique products for the Indian market. They are set to dynamically transform the dairy spectrum in India with innovations and new consumer experiences that haven’t existed in the category before. They are testing waters, entering into the dairy segment with a high quality and premium range of flavored milk products 'SMOODH'. This is the only Indian brand in this category that comes at a ticket size, as small as Rs 10 for an 85 ml pack. The company has a number of variants like chocolate, toffee, caramel, coffee, and others. The flavored milk market in India is estimated at around Rs 80,000 million and Parle Agro expects to grow to Rs 5,000 million in the next four to five years.
Mumbai-based Anand Rathi Wealth has filed preliminary papers with market watchdog Sebi to raise capital via initial share shale. Anand Rathi Wealth is a part of the financial services group Anand Rathi. The initial public offering (IPO) will entirely be an offer for sale (OFS) by the promoters of the company and existing shareholders, who will offload 1.2 crore equity shares, the DRHP filed by the company showed. Existing investors and promoters who will sell their stake in the company include Anand Rathi Financial Services, Anand Rathi, Pradeep Gupta, Amit Rathi, Priti Gupta, Supriya Rathi, Rawal Family Trust, Jugal Mantri, and Feroze Azee. Anand Rathi Wealth is a big player in the financial services industry, which is widely indulged in the business of mutual fund distribution and selling various financial products. The company is eyeing for listing on bourses with a rationale that listing of equity shares will enhance its brand name and provide liquidity to existing shareholders. Equirus Capital, BNP Paribas, IIFL Securities, and Anand Rathi Advisors have been appointed as merchant bankers to the company. The equity shares will be listed on both BSE and NSE. Prior to this, the company had filed draft papers with Sebi to raise Rs 425 crore through an IPO in September 2018. However, the firm later withdrew its proposed issue. Anand Rathi Wealth provides advisory, distribution, and technology solutions to various clients, among which the majority are HNIs and Ultra HNIs. In the Financial Year 2020-21, the company's consolidated revenue degrew 14% to Rs 279.25 from Rs 336.43 crore in the financial year 2019-20. The net profit of the company slipped 27 percent to Rs 44.54 crore from Rs 61.39 crore during the period under review. According to the current estimates, the market cap of Anand Rathi Wealth management is around Rs 1,800 crore. At the current EPS of Rs 16 per share, the company is trading at a Trailing P/E of 40 times, which is quite high compared to its listed peers. The only listed peer of the company is IIFL Wealth Management, which is trading at a P/E multiple of 19.02 times. The company has a market cap of more than Rs 12,100 crore. In its recent annual general meeting (AGM), the company issued a bonus in 2:1 ratio, implying a bonus share for every two shares held. The record date for the same was 15 July 2021. The bonus issue was a big hint on the company's IPO plans.
<p>HDFC Securities, the brokerage arm of HDFC Bank, has posted a strong show in the financial year ended on March 31, 2021, and the June 2021 quarter, the company results show. <br /><br />According to the regulatory filing, the Mumbai headquartered brokerage firm clocked a revenue of Rs 452.11 crore in the June 2021 quarter, 65.72% higher than the revenue of Rs 272.81 crore in the same quarter the previous year. <br /><br />The profit of the premium brokerage company almost doubled to Rs 862.26 crore from Rs 38415 crore during the same quarter the previous year. In the financial year 2020-21, the total revenue of the company increased by 58.8% to Rs 1,399.43 crore and net profit was up by 38.11% of Rs 703.21 crore. <br /><br />The figures stood at Rs 857.47 crore and Rs 509 crore, respectively, in the preceding fiscal. Earning per share (EPS) of the company almost doubled to 159.26 in the April-June 2021 period, which was 82.47 during the corresponding period the previous year. <br /><br />The stellar financial performance in the last 15 months, has pushed the price of unlisted shares of HDFC Securities northwards. HDFC Securities unlisted shares are in high demand in the pre-IPO market. During the April-June 2021 period, the company had declared and paid an interim dividend of Rs 120 per equity share amounting to Rs 189.20 crore including tax deduction at source, the regulatory filing said. <br /><br />"The Covid-19 pandemic continues to have a considerable impact on economic activities across the various parts of the country and across the globe, '' said Dhiraj Relli, Managing Director of HDFC Securities in the filing. "The Government of India and various state governments have introduced a series of initiatives over the past year including lockdowns in order to contain the impact of the virus." Stockbroking and depository services have been declared as essential services all through the year and accordingly, the Company has faced no business stoppage/interruption on account of the lockdown, he added. <br /><br />The Company does not anticipate any material uncertainties which affect its liquidity position and also its ability to continue as a going concern. HDFC Securities has completed more than two decades in the industry and brags an extensive network of branches across all major cities and towns in the nation. <br /><br />The company is entitled with a strong parentage of HDFC group, which is the largest and most premium financial services group in the country. HDFC group is among the largest conglomerates of India. It is a corporate member of both the BSE and the NSE. HDFC securities are well known by professional traders for their comprehensive online trading portal offerings. <br /><br />As of March 31, 2021, the broking firm had about 300 branches in more than 160 cities in the country. It also has multiple digital platforms to enable its customers to have easy access to its products.</p>
Mobile payments is a hot business in the Indian start-up circuit. After Paytm's DRHP, another player from the industry- Mobikwik- is planning to hit Dalal Street with its primary issue. Started in 2009, Mobikwik has now grown to a financial firm providing small loans to its customers from just a mobile wallet payments firm. The company has about 2 million merchants and a user base of 60 million customers, using its services. The real-life couple of Bipin Preet Singh and Upasana Taku founded the company, which over the years extended its services to mobile apps and partnered with various e-commerce sites as their payment options. The company employs over 325 people, operating in three segments including consumer payments, fintech, and payments gateway. They also introduced the feature of sending and receiving money via a mobile app MobiKwik provides financial services including loan, accident insurance, life insurance, fire insurance, IMPS money transfer, credit card bill payment, mutual funds, and DTH recharge. Two years back, in 2019, the home-grown fintech player began offering loans, insurance, and investment advice. <strong>Funding of the company</strong> In 2013, after founder Singh's initial $250k seed investment, MobiKwik raised $5 million in Series A funding from an unnamed US-based VC firm. In 2015 the company raised about $31 million from Chinese investment firm Tree Line Asia and America's Sequoia Capital, tech giant Cisco Systems and financial services player American Express. In May 2016, the company announced another round of fundraising, in which it garnered about $50 million from Japanese Internet company GMO Internet and Taiwan's MediaTek. Sequoia Capital and Treeline Asia also joined the fundraising in this round as well. According to a report from Medianama, the company became a unicorn when it raised $150 million from an undisclosed investor in June 2017. Just a couple of months later, Bajaj Finance picked up around 11% stake in the company for Rs 225 crore. In July 2019, NDTV Limited & Trifecta Capital invested about $1.3 million in the company. Renowned media company Hindustan Media Ventures invested about $9.5 million on Mobikwik in two tranches at the end of 2021. The latest investment in Mobikwik came from Abu Dhabi Investment Authority, which poured in $20 million in June 2020. <strong>Partnerships</strong> Mobikwik partnered with Uber India in July 2015, which enabled Uber and its drivers to utilize MobiKwik to process debit and credit card payments. On November 8, 2017, IDFC Bank entered into a strategic partnership with digital payments company to launch a co-branded virtual Visa prepaid card for the customers. In June 2019, MobiKwik announced a partnership with DT One, a global B2B network for mobile top-ups, recharge, rewards, and credit services. BookMyShow, Cafe Coffee Day, Sagar Ratna, Pizza Hut, TastyKhana, JustEat, PVR, eBay, Jabong, Snapdeal, Shopclues, HomeShop18, Naaptol, Pepperfry, Fashionara, FashionAndYou, MakeMyTrip, Ferns N Petals, are among the brands that are associated with MobiKwik. On 25 February 2021, an Indian security researcher named Rajshekhar Rajaharia claimed that the KYC details of millions of MobiKwik users have been leaked from the company's server, by a hacker group called Jordandaven, and put up for sale on the dark web. However, the company denied the claim and said it will take legal action against the researcher. Later, TechCrunch reported that the company is hiring a third party to conduct a forensic data security audit. In the mobile payments and digital payment service business, MobiKwik is facing stiff competition from various larger players like Paytm, Google Pay (earlier Tez), and PhonePe. On the wallet front, it rubs shoulders with Paytm, which has over 60 million wallet users. However, it has a strong focus on the wallet, while Alipay-backed Paytm is following a horizontal approach and has forayed into an all-in-one B2C marketplace for the users. <strong>Financial metrics</strong> In the Financial year 2018-19, MobiKwik's revenue stood at Rs 184.6 crore, while it stood at Rs 69.6 crore in the previous fiscal year 2017-18. In FY 2019-20, the net revenue of MobiKwik jumped 134% to Rs. 379 crore. The consumer payments accounted for 63% of the net revenue, Fintech for 25%, and Payment Gateway for 12% of total net revenue during the year. MobiKwik also has a merchant-facing Payment Gateway Business, though is a wholly-owned subsidiary Zaakpay, which registered net revenue of Rs 190 crore in the financial year 2019-20. The company clocked a revenue of Rs 101 crore in the previous fiscal year. <img class="alignnone size-full wp-image-18424" src="https://unlistedzone.com/storage/knowledge-logo/Mobikwik-1.bmp" alt="" width="600" height="269" /> <img class="alignnone size-full wp-image-18425" src="https://unlistedzone.com/storage/knowledge-logo/Mobikwik-2-1.bmp" alt="" width="600" height="335" /> <img class="alignnone wp-image-18428" src="https://unlistedzone.com/storage/knowledge-logo/Mobikwik-4-2.bmp" alt="" width="236" height="299" />. <img class="alignnone size-full wp-image-18429" src="https://unlistedzone.com/storage/knowledge-logo/Mobikwik-3-2.bmp" alt="" width="247" height="298" /> <strong>IPO Plans</strong> According to Upasana Taku, co-founder of Mobikwik, the company is eyeing to launch its IPO in 2021. However, the process may get delayed. The company will change its holding to public limited from a private limited firm. Also, the company will rename itself as 'One Mobikwik Systems Limited', said the reports. Mobikwik announced that it would be issuing and allotting 156,17,940 equity shares, which will be live for 67 equity shareholders as a bonus, to dilute the equity. The co-founders of the company, Bipin Preet Singh and Upasana Taku are deemed to be the largest beneficiaries of this bonus issue. They have been allotted 87,30,930 and 61,80,900 fully paid equity shares respectively Mobikwik will be hitting with an IPO of Rs 1,900 crore in the coming months. The company will issue fresh shares worth Rs 1,500 crore and existing shareholders will offload shares worth Rs 400 crore. Source of Images: <a href="https://blog.mobikwik.com/mobikwik-annual-report-fy2020/">https://blog.mobikwik.com/mobikwik-annual-report-fy2020/</a>
<div class="gs"> <div class=""> <div id=":1qt" class="ii gt"> <div id=":1sj" class="a3s aiL "> <div class="gmail_quote"> <div dir="ltr"> <div class="gmail_default"> Amidst the buzz of IPO, Reliance Retail Ventures (RRVL) has acquired the controlling stake in Just Dial in a cash deal worth Rs 5,710 crore. Reliance Retail is the retail arm of Reliance Industries (RIL). Reliance Retail has offered Rs 3,497 crore to Just Dial's promoter VSS Mani and his family for their 40.95% stake in the company Just Dial. The company will further make an open offer to public shareholders to purchase 26% stake in the company entailing about Rs 2,213 crore. The company is eyeing to buy the nonpromoter shareholding at about Rs 1,022 per equity share. The deal testifies that India's largest and most profitable player is entering the local search and services space. The company's latest acquisition boasts more than 30 million listings of enterprises across web, app, and voice platforms. Prior to this, Reliance Retail had purchased online pharma retailer Netmeds and British toymaker Hamleys over Rs 620 crore each. If all the plans fall in place, Reliance will hold over 66.95 percent stake in the Just Dial. However, Mukesh Ambani led Reliance Industries would not attempt to delist Just Dial, which will continue to operate as a separate entity. Just Dial founder VSS Mani will continue to lead the company as Managing Director and CEO, Reliance said in a statement on Friday. Mani was reappointed as the CEO of the company for another five years. The investment would leverage the 25-year-old company's existing database of 30.4 million listings and 129.1 million quarterly unique users, according to the data as of March 31, 2021. This is Reliance Retail's fourth acquisition, after Future Group, Netmeds, and UrbanLadder, in the last 12 months. Reliance Retail has been on a buying spree recently. Other than these acquisitions, Mukesh Ambani led company has bought Zivame, MesIndus Ventures, Shopsense Retails, Grab a Grub, and C-Square in the last couple of years. Amidst the IPO frenzy in the domestic equity markets, Reliance Industries is mulling the plans to launch IPOs of its retail business. The aggressive activities are a sharp suggestion that it might hit the primary markets in the ongoing financial year. Mukesh Ambani, Chairman of Reliance Industries, had earlier indicated a potential listing of its telecom arm, Reliance Jio in the annual general meeting with shareholders in order to unlock value in RIL's various businesses. Reliance Retail is the largest retail chain of the country. In the financial year 2020-21, the retail arm has reported a revenue of Rs 1,57,629 crore and a pre-tax profit of Rs 9,842 crore in FY21. The net profit for the fiscal year 2020-21 was Rs 5,481 crore higher by 0.6%. The cash profits of the company slipped 3.1% to Rs 7,457 crore in the financial year ended on March 31, 2021. In FY21, Reliance Retail strengthened its digital commerce and omni-channel capabilities across all businesses and adopted the latest technologies such as Artificial Intelligence (AI) and Machine Learning (ML) to cater to changing consumer behavior and patterns. As of March 31, 2021, Reliance Retail was operating 12,711 stores, covering 33.8 million sq ft. It operates nearly two-third of that in smaller towns and over half of 1,456 new stores opened in FY21 were in those markets. <div class="adL"></div> </div> </div> </div> </div> </div> </div> </div>
Digital payment and Fintech giant Paytm is all set for its initial public offering after its parent, One 97 Communications, has filed its draft red herring prospectus (DRHP) with the Securities Exchange Board of India (SEBI) on Friday. The Softbank-back Paytm is looking to raise over $2.3 billion (about Rs 16,600 crore) via its primary offering. Paytm IPO was much awaited after a sharp 2.5x move in the prices of unlisted Paytm shares. At the current issue size, Paytm's IPO will be the largest ever primary offering by any Indian company. It is followed by SBI Cards (Rs 10,355 crore) and recently concluded Zomato (Rs 9,375 crore) The company's IPO will consist of fresh equity worth Rs 8,300 crore, with a face value of Rs 1 each. The remaining 50% of the offering will be an offer-for-sale by the existing shareholders. Existing investors, including the founder and CEO Vijay Shekhar Sharma, Ant Financials, Jack Ma's Alibaba Group, and Warren Buffet's Berkshire Hathaway will offload a portion of their stake in the company. Elevation Capital and Saif Partners will also sell their shares in the book-building process. The company has mentioned itself as a professionally managed entity, with no identifiable promoter. At this issue size, it would be the largest issue of the country. It has recently declassified the founder Vijay Shekhar Sharma as the promoter of the company. The Noida-based company said it would use the IPO proceeds to strengthen its payment ecosystem and for new business initiatives and acquisitions. The company has reserved some of the stakes for eligible employees. 75% of the net offer has been reserved for qualified institutional buyers (QIBs). The company may allocate up to 60% QIB portion to the anchor investors. Non-Institutional Investors (NIIs) are given 15% allocation on a proportionate basis of the net offer, while the retail individual investors will get merely 10% of the allocation. Morgan Stanley India Company, Goldman Sachs (India) Securities, Axis Capital are the joint global coordinators and Book Running Lead Managers for the issue. ICICI Securities, JP Morgan India, Citigroup Global Markets India, and HDFC Bank have been appointed as the BRLMs of the issue. Link Intime India has been appointed as the registrar for the issue. <strong>Financial Health</strong> According to the annual report of Paytm, the digital payments firm has narrowed its consolidated loss to Rs 1,704 crore in the financial year 2020-21 from Rs 2,943.32 crore in fiscal 2019-20. This can be translated as a 42.1% decline in losses. However, the total revenue of the company declined 10% to Rs 3,186 crore in FY 2020-21 compared to Rs 3,540.77 crore in the previous financial year. The company has reported a narrowing of loss for the second consecutive year in FY21. Paytm slashed marketing costs by about 62% to Rs 533 crore in FY21 from Rs 1,397 crore a year ago. Paytm recorded an 11% increase in payments and financial services revenues at Rs 2,109 crore in FY21 compared to Rs 1,906 crore in FY20.
<p>HDFC Securities, the flagship company of HDFC Group has come up with the Q1FY22 numbers. In the first quarter of FY22, HDFC Securities has clocked revenue of 452 crores; it was only 272 crores last year in the same period. This has translated into a massive 66% growth in revenue. Total expenses have also gone up to 121 crores as compared to 100 crores last year in the same period.</p> <!--more--> <p>The main expense of Broking Company is employee salaries, for HDFC Securities it accounted for 11% of total expense in the Q1FY22. The PAT has also grown by 100% to reach 251 crores as compared to just 130 crores last year. During the period, the Company had declared and paid interim dividend of ₹120 per share <br /><br /><strong>Results Snapshot (in Crores)</strong></p> <div class="table-overflow-init"> <table> <tbody> <tr> <td style="width: 12.0846%;" width="79">Date</td> <td style="width: 17.5227%;" width="79">Total Income</td> <td style="width: 19.3353%;" width="82">EBITDA</td> <td style="width: 12.3867%;" width="64">OPM</td> <td style="width: 10.574%;" width="64">PAT</td> <td style="width: 12.3867%;" width="64">NPM</td> <td style="width: 10.2719%;" width="83">EPS</td> </tr> <tr> <td style="width: 12.0846%;">Q1FY21</td> <td style="width: 17.5227%;">272</td> <td style="width: 19.3353%;">177</td> <td style="width: 12.3867%;">65%</td> <td style="width: 10.574%;">129</td> <td style="width: 12.3867%;">47%</td> <td style="width: 10.2719%;">82</td> </tr> <tr> <td style="width: 12.0846%;">Q1FY22</td> <td style="width: 17.5227%;">452</td> <td style="width: 19.3353%;">348</td> <td style="width: 12.3867%;">76%</td> <td style="width: 10.574%;">251</td> <td style="width: 12.3867%;">55%</td> <td style="width: 10.2719%;">159</td> </tr> </tbody> </table> <strong><br />Revenue Comparison of Q1FY22 and Q1FY21</strong> <br /><br /><img src="https://dyvmwwyqozzzb.cloudfront.net/main/WhatsApp-Image-2021-07-15-at-15.47.58.jpeg" width="339" height="206" /><br /><br /><strong>Revenue Contribution from different services in Q1FY22<br /><br /></strong></div> <div class="table-overflow-init"><img class="alignnone wp-image-18260" src="https://unlistedzone.com/storage/knowledge-logo/WhatsApp-Image-2021-07-15-at-15.16.17.jpeg" alt="" width="411" height="309" /></div> <p><strong>Current Valuation</strong> <br /><br />If we annualize the EPS of Q1FY22, then it will come around 600. The current unlisted market price of HDFC Securities is 13500 per share. So, P/E would be 22.5x. ICICI Securities is trading at P/E of 21x and Angel Broking is trading at P/E of 29x. So, HDFC Securities' valuation look at par with other listed players in the market. <br /><br /><a href="https://unlistedzone.com/storage/knowledge-logo/688dceba-19ec-44cc-ba20-87693a2e7da6.pdf">HDFC Securities Results Link</a> </p>
An Extraordinary General Meeting of M/s. NCL Buildtek Limited will be held on Saturday, 07th August, 2021 at 10.30 am (IST) through Video Conferencing (“VC”)/ Other Audio Visual Means (“OAVM”) platform in accordance with the applicable provisions of the Companies Act, 2013 read with MCA General Circulars and Circular No. 10/2021 dated 23rd June, 2021 to transact the following business.<!--more--> <strong>(i)</strong> Ncl-Buildtek is raising 25 Crores from NCL Industries, a promoter group. For this, they are issuing 2500 Optionally Convertible Debentures at Face value of Rs.10,000 per share. Each OCD can be converted into 30 equity shares of face value Rs.10. Total Value = 25000*10000 = 25 Cr What is the value of Equity Share? 1 OCD = 30 shares So, total shares upon conversion = 7.5 Lac <strong>Per share value = 25Cr/7.5 lac = 333 per share.</strong> <strong>(ii)</strong> To appoint Mr. Vatsavayi Venkata Jagannadha Raju (DIN: 07573352) as an Executive Director of the Company for a period of 3 years with effect from 01st August, 2021. <a href="https://unlistedzone.com/storage/knowledge-logo/1626068742_financial-year-2021-2022.pdf">Notice of NCL Buildtek</a>
In less than 2 months of time the top two executives Mr. Amit Nayyar and Rohit Thakur have left the company. Amit Nayar who joined the company in 2019 was looking after the financial division of the company i.e. <em><strong>lending, insurance distribution, wealth management, and stock broking business</strong></em>, has put down papers just before Paytm IPO. <!--more-->This is a big jolt to the company considering the traction financial sector is getting these days owing to structural shift happening in the style of investment in our country. The leaving of top executive at the time of IPO may derail the growth of this segment if they don't find a right candidate as early as possible. Last month, Mr. Rohit Thakur too has left the company. Paytm over the last few years have really struggled to retain the top executives which has hampered the growth of the company. Following are the comments of the management collected by Mint on the queries send to management. As a company, we do not comment on personnel changes. We have built an incredible management team with some of the most reputed names in the industry, who are focused on driving growth at Paytm," said a Paytm spokesperson.
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