12-Jan-2024
2 mins read
R K SWAMY Limited is coming up with its IPO which is a book built issue of Rs 423. 56 crores. The issue is the combination of fresh issue of Rs 173 crore and offer for sale of Rs 250.56 crore. The price band of this IPO is Rs 270 to Rs 288 per share. However, the face value is Rs 5 per share. The minimum lot size of this application for the retail category is 50 shares. The minimum lot size for small non-institutional investors is 14 lots consisting of 700 shares.
Meanwhile, the minimum lot for big non-institutional investors is 70 lots with 3500 shares. The minimum amount of investment required for retail category investors is Rs 14,400 ( 288 x 50 shares). However, for small non-institutional investors, the minimum investment amount required is Rs 2,01,600 ( 288 x 700 shares); for big non-institutional investors, it is Rs 10,08,000 (288 x 3500 shares). The allotment for this IPO is expected to be finalised on Thursday, March 7, 2024. The listing date of R K SWAMY IPO is Tuesday, March 12, 2024. The listing will be at BSE as well as on NSE.
The IPO is managed by SBI Capital Markets Limited, Iifl Securities Ltd, and Motilal Oswal Investment Advisors Limited, the book-running lead managers. Kfin Technologies Limited has been appointed as the registrar for the issue. For comprehensive details, interested parties should refer to the R K SWAMY IPO’s Draft Red Herring Prospectus (DRHP).
R K SWAMY Limited Product Portfolio
Established in 1973, R K Swamy Limited specializes in integrated marketing communications, customer data analysis, comprehensive market research, and full-service and syndicated studies. As a company that heavily relies on data, R K Swamy incorporates digital strategies extensively in all its business facets.
In fiscal year 2023, the firm rolled out over 818 innovative campaigns across diverse media platforms for its clients. Additionally, it handled more than 97.69 terabytes of data and carried out more than 2.37 million consumer interviews, encompassing a mix of quantitative, qualitative, and telephonic surveys.
R K Swamy’s extensive client roster features prominent names such as Aditya Birla Sun Life AMC Limited, Cera Sanitaryware Limited, Dr. Reddy’s Laboratories Limited, E.I.D. – Parry (India) Limited, Fujitsu General (India) Private Limited, Gemini Edibles and Fats India Limited, and Havells India Limited. Other notable clients include Hawkins Cookers Limited, Himalaya Wellness Company, Hindustan Petroleum Corporation Limited, ICICI Prudential Life Insurance Company Limited, IFB Industries Limited, Mahindra and Mahindra Limited, Oil and Natural Gas Corporation Limited, Royal Enfield (part of Eicher Motors), Shriram Finance Limited, Tata Play Limited, Ultratech Cement Limited, and Union Bank of India.
With a workforce of 2,391 employees, the company operates out of 12 main offices and 12 field locations, spread across 12 cities and divided into three key business segments.
The Objectives of R K SWAMY Limited IPO 2024
The company plans to allocate the net proceeds from the Fresh Issue, the total gross proceeds minus the expenses related to the offer, in several strategic ways. These include addressing the company’s working capital needs, investing in capital expenditure to establish a Digital Video Content Production Studio (DVCP Studio), and enhancing the IT infrastructure of the company and its key subsidiaries, Hansa Research and Hansa Customer Equity. Additionally, funds will be used to develop new Customer Experience Centres (CEC) and Computer Aided Telephonic Interview (CATI) centres. A portion of the proceeds is also earmarked for general corporate purposes.
Important Financial Details of R K SWAMY Limited (In Rs Crore)
Company reported a revenue of Rs 142.55 crore and profit after tax of Rs 7.93 crore for the period ending on 30 September 2023. The revenue increased by 22.43% and net profit increased by 62.34% between the FY ending on March 31, 2023 to March 31, 2022.
| Period Ended | 30-Sep-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 252.23 | 313.65 | 406.44 | 390.06 |
| Revenue | 142.55 | 299.91 | 244.97 | 183.22 |
| Profit After Tax | 7.93 | 31.26 | 19.26 | 3.08 |
| Net Worth | 146.66 | 140.81 | 111.93 | 98.22 |
| Reserves and Surplus | 28.85 | 40.79 | 12.27 | -0.43 |
| Total Borrowing | 51.05 | 4.51 | 28.73 | 45.68 |
Important Details of R K SWAMY Limited IPO 2024
| IPO Date | March 4, 2024 to March 6, 2024 |
| Listing Date | 12-Mar-24 |
| Face Value | Rs 5 per share |
| Price Band | Rs 270 to Rs 288 per share |
| Lot Size | 50 Shares |
| Total Issue Size | 14,706,944 shares |
| amounting to Rs 423.56 crores | |
| Fresh Issue | 6,006,944 shares |
| amounting to Rs 173 crores | |
| Offer for Sale | 8,700,000 shares of Rs 5 |
| amounting to Rs 250.56 crores | |
| Employee Discount | Rs 27 per share |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 44,457,140 |
| Shareholding post issue | 50,464,084 |
IPO Reservation of R K SWAMY Limited
| Investor Category | Shares Offered |
| Shares offered to QIB | Not less than 75 percent of the Net Issue |
| Shares offered to Retail | Not more than 10 percent of the Net Issue |
| Shares offered to NII | Not more than 15 percent of the Net Issue |
Key Performance Indicator of R K SWAMY Limited IPO 2024
| KPI | Values |
| ROE | 16.47% |
| ROCE | 6.29% |
| Debt/Equity | 1.5 |
| RoNW | 5.41% |
| P/BV | 8.73 |
Lead Manager(s) of R K SWAMY Limited IPO 2024
The lead manager(s) of R K SWAMY Limited IPO 2024 are SBI Capital Markets Limited, Iifl Securities Ltd and Motilal Oswal Investment Advisors Limited.
Promoters of the Company
The promoters of the company are Srinivasan K Swamy (Sundar Swamy) and Narasimhan Krishnaswamy (Shekar Swamy).
Promoter Holding of R K SWAMY Limited IPO 2024
| Shareholding Pre Issue | 83.03% |
| Shareholding Post Issue |
How to Apply for R K SWAMY Limited IPO 2024
Wait for the public issue to open for subscription, then click here to apply for the R K SWAMY Limited IPO 2024 with Bigul.
How to Check Allotment Status of R K SWAMY Limited IPO 2024
The registrar for R K SWAMY Limited IPO 2024 is Kfin Technologies Limited. To check your allotment status, please click here.
FAQs
- What are the details of the R K SWAMY Limited IPO 2024?
R K SWAMY Limited is coming up with its IPO which is a book built issue of Rs 423. 56 crores. The issue is the combination of fresh issue of Rs 173 crore and offer for sale of Rs 250.56 crore. The price band of this IPO is Rs 270 to Rs 288 per share. However, the face value is Rs 5 per share. The minimum lot size of this application for the retail category is 50 shares.
- When is the IPO scheduled to open?
The R K SWAMY Limited IPO 2024 is opening on Monday, March 4, 2024.
- What will be the price band for the IPO?
The price band for the R K SWAMY Limited IPO 2024 Rs 270 to Rs 288 per share.
- What are the main objectives of this IPO?
The net proceeds will be used for funding working capital, setting up a digital video content production studio, enhancing IT infrastructure, developing new customer experience and CATI centres, and for general corporate purposes.
- How has R K SWAMY Limited performed financially?
Company reported a revenue of Rs 142.55 crore and profit after tax of Rs 7.93 crore for the period ending on 30 September 2023. The revenue increased by 22.43% and net profit increased by 62.34% between the FY ending on March 31, 2023 to March 31, 2022.
- How can I apply for the R K SWAMY Limited IPO 2024?
Once the IPO opens, you can apply for the IPO by clicking here.
- How can I check the allotment status of the IPO?
The allotment status can be checked through Kfin Technologies Limited’s website by clicking here.
- Who are the promoters of R K SWAMY Limited?
The promoters are Srinivasan K Swamy (Sundar Swamy) and Narasimhan Krishnaswamy (Shekar Swamy).
- What are the key performance indicators of R K SWAMY Limited?
Key performance indicators include an ROE of 16.47%, a ROCE of 6.29%, a debt-to-equity ratio of 1.5, and a RoNW of 5.41%.
- Where will the IPO be listed?
The IPO will be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).