of currency The initial public offering of 412.79 crores was a little shy of the full membership on the second day. The IPO, mainly driven by retail investors, got 96 per cent subscription. Demand from HNIs and institutional investors remained sluggish on Monday as well.
According to NSE data, IPO Received cumulative bids of 1,09,00,752 equity shares as against the proposed size of 1,13,64,784 equity shares – a subscription of 96%.
The portion meant for retail investors was subscribed 1.69 times on the second day. However, the share allotted to Qualified Institutional Buyers (QIBs) and non-institutional investors was subscribed by only 25% and 16%, respectively.
Under the IPO, 50% of the stake is reserved for qualified institutional buyers, while 15% is earmarked for non-institutional investors, and 35% is allocated to retail individual investors.
The IPO opened on May 20 and will be available for subscription till May 24. IPO includes new issues 161 crore and offer for sale (OFS) of 9,835,394 equity shares. A price band of Rs 243-256 per equity share has been fixed with a face value of 5 each.
eMudra plans to utilize the proceeds from the issue – repayment in full or all or part of the borrowings; working capital requirements; financing of equipment procurement and other related costs for data centers proposed to be set up in India and overseas locations; financing expenditure related to product development; Investing in eMudra Inc to cover your business development, sales, marketing and other related costs for future growth; And finally on to general corporate objectives.
Post the IPO, eMudra will be listed on BSE and NSE.
In its IPO note, Ventura said, in the period FY 2011-24E, we expect Revenue / EBITDA / PAT to grow at a CAGR of 27.9% / 25.8% / 23%. 275 cr / 105 cr / 71 crore, while EBITDA and net margin declined by 190bps (38.2%) and 25.9bps (320%) respectively. Thereafter, the return ratio is expected to decline to 1670bps (to.)
16.2%) and RoIC will improve to 1250bps (43%) respectively by FY24.
“With strong revenue growth potential and scope for further improvement in profitability, we would recommend the SUBSCRIBE rating for the target price. 392 (27.4X FY24 PE) for long term gains,” Ventura said in its note.
Established in 2008, eMudhra is the largest licensed certification authority in the Digital Signature Certificate market space in India with a market share of 37.9% in FY 2011. It provides digital trust services and enterprise solutions to individuals and organizations operating in various industries.