24-Jul-2023
2 mins read
Netweb Technologies, a software development company, launched its initial public offering (IPO) on July 17. The IPO remained open for a 3-days and closed to July 19. Post the public offer, the company will list its proposed equity shares on the stock exchanges BSE and NSE. The allotment date is July 24, 2023.
Netweb Technologies India Limited’s Product Portfolio
Netweb Technologies India Limited provides high-end computing solutions (HCS). Netweb Technologies’ HCS offerings comprise:
- High-performance computing (Supercomputing / HPC) systems,
- Private cloud and hyper-converged infrastructure (HCI),
- AI systems and enterprise workstations,
- High-performance storage (HPS / Enterprise Storage System) solutions,
- Data centre servers, and
- Software and services for our HCS offerings.
NetWeb Technologies specialises in designing, manufacturing, and deploying its HCS solutions, which include proprietary middleware and precompiled application stacks. Their HCS offers high-performance computing systems, private cloud and hyper-converged infrastructure, AI systems and enterprise workstations, and data centre servers. The company has contributed to India’s National Supercomputing Mission and gained recognition, with its supercomputers being listed among the world’s top 500. Netweb Technologies is a prominent Indian OEM in the HCS space, serving a wide range of industries and renowned clients
The Objectives of Netweb Technologies India Limited IPO
The company intends to utilise the net proceeds from the issue towards the funding of the following objects:
- Funding capital expenditure requirements for civil construction of buildings and interior development
- Purchase of equipment/machinery for the new SMT production line
- For long-term working capital requirement
- Repayment or pre-payment, in whole or in part, of certain outstanding borrowings, and
- General corporate purposes.
About the IPO
The IPO consists of fresh issues worth Rs 206 crore and an offer for sale (OFS) of up to 85 lakh equity shares. According to the red herring prospectus, the company said, in consultation with the BRLMs, undertook a Pre-IPO Placement of 1,020,000 equity shares at an issue price of ₹500 per equity share (including a premium of Rs 498 per equity share) aggregating Rs 51 crore (Pre-IPO Placement). The size of the fresh issue is reduced by Rs 51 crore, bringing it down from the Initial public offer of Rs 257 crore. Out of the proceeds from the fresh, Rs 32.29 crore will be used for funding capital expenditure requirements, Rs 128 crore for long-term working capital requirements and Rs 22.50 crore will be used to repay its debt.
Under the IPO, the company has set aside a maximum of 20,000 equity shares for subscription by eligible employees. The lower and upper bands of the share are yet to be announced, with the lot size accordingly. The equity share will have a face value of Rs 2.
Among the promoters participating in the offer for sale, Sanjay Lodha plans to sell up to 2,860,000 equity shares. Similarly, Navin Lodha, Vivek Lodha, and Niraj Lodha will each sell 1,430,000 equity shares. Additionally, Ashoka Bajaj Automobiles LLP intends to sell 1,350,000 equity shares.
50% of the total IPO size is reserved for qualified institutional buyers (QIBs), while 15% of the portion is kept for non-institutional investors (NII), and the remaining 35% is to be allotted for retail individual investors (RIIs).
Financial Performance of Netweb Technologies India Limited (In Crore)
| Period Ended | Total Assets | Total Revenue | Profit After Tax | Net Worth | Reserves and Surplus | Total Borrowing |
| 31-Mar-20 | 50.59 | 157.23 | 3.91 | 13.65 | 7.99 | 15.23 |
| 31-Mar-21 | 110.2 | 144.29 | 8.23 | 21.82 | 16.15 | 30.54 |
| 31-Mar-22 | 148.61 | 247.94 | 22.45 | 44.37 | 38.71 | 34.48 |
| 31-Mar-23 | 265.95 | 445.65 | 46.94 | 93.67 | 83.48 | 35.6 |
Important Details of Netweb Technologies India Limited IPO
| IPO Date | Jul 17, 2023 to Jul 19, 2023 |
| Listing Date | Jul 24, 2023 |
| Face Value | Rs 2 per share |
| Price | Rs 475 to Rs 500 per share |
| Lot Size | 30 Shares |
| Total Issue Size | 12,620,000 shares
(aggregating up to ₹631.00 Cr |
| Fresh Issue | Aggregating up to Rs 206.00 Crore |
| Offer for Sale | 8,500,000 shares of Rs 2 |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 50,923,980 |
Timetable of Netweb Technologies India Limited IPO
| Event | Date |
| Opening Date | Monday, 17 July 2023 |
| Closing Date | Wednesday, 19 July 2023 |
| Basis of Allotment | Monday, 24 July 2023 |
| Initiation of Refunds | Tuesday, 25 July 2023 |
| Credit of Shares to Demat | Wednesday, 26 July 2023 |
| Listing Date | Thursday, 27 July 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on Jul 19, 2023 |
Netweb Technologies India Limited IPO Lead Manager(s)
The lead managers for Netweb Technologies India Limited IPO are Equirus Capital Private Limited and Iifl Securities Ltd.
Promoters of the Netweb Technologies India Limited IPO
The promoters of the company are Sanjay Lodha, Navin Lodha, Vivek Lodha, and Niraj Lodha.
How to Apply for Netweb Technologies India Limited IPO
Wait for the public issue to open for subscription, then click on this link to apply for the Netweb Technologies India Limited IPO with Bigul https://ipo.bonanzaonline.com/
How to Check Allotment Status of Netweb Technologies India Limited IPO
The registrar for Netweb Technologies India Limited IPO is Link Intime India Private Ltd. To check your allotment status, please click on this link https://linkintime.co.in/
FAQs
- What is the IPO subscription?
The IPO subscription refers to the level of demand for a public issue on the BSE and NSE during the subscription period. It indicates the number of times investors have bid for IPO shares.
- When will the Netweb Technologies India Limited IPO open?
The Netweb Technologies India Limited IPO will open on Jul 17, 2023, and close on Jul 19, 2023.
- What is the lot size of the Netweb Technologies India Limited IPO?
The lot size for the IPO is 30 shares.
- When is the allotment date for the Netweb Technologies India Limited IPO?
The basis of allotment for the IPO will be finalised on Jul 24, 2023. The allotted shares will be credited to investors’ demat accounts by Jul 26, 2023.
- How can I apply for the Netweb Technologies India Limited IPO?
To apply for the IPO, you need to wait for the public issue to open for subscription and then click on the provided link: https://ipo.bonanzaonline.com/
- How can I check the allotment status for the Netweb Technologies India Limited IPO?
The registrar for the IPO is Link Intime India Private Ltd. To check your allotment status, please visit this link: https://linkintime.co.in/
- Who are the lead managers for the Netweb Technologies India Limited IPO?
The lead managers for the IPO are Equirus Capital Private Limited and IIFL Securities Ltd.
- Who are the promoters of Netweb Technologies India Limited?
The promoters of Netweb Technologies India Limited are Sanjay Lodha, Navin Lodha, Vivek Lodha, and Niraj Lodha.