Systango Technologies SME IPO to open on 2nd March : check price band

An aggregate of up to 38,68,800 fresh equity shares will be issued in the issue, with 1,96,800 allocated for market makers and 36,72,000 reserved for a net issuance to the public

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New Delhi : Systango Technologies Ltd is planning to go public with an initial public offering (IPO) with an issue size of Rs 32.88-34.82 Cr., with an emphasis on data and analytics. The company’s focus is on helping other businesses create and run their own unique digital platforms, such as websites, social media sites, and mobile apps. The firm’s clientele spans numerous industries, from the financial sector to the world of fantasy sports and hospitality.

An aggregate of up to 38,68,800 fresh equity shares will be issued in the issue, with 1,96,800 allocated for market makers and 36,72,000 reserved for a net issuance to the public. The IPO for Systango Technologies is set to begin on March 2, 2023, with a price range of Rs 85–90 per share (based on a share price of Rs 10). The offering period is set to end on March 6, 2023. On March 10, 2023, the NSE will announce the allocation status of Systango Technologies’ initial public offering, and on March 15, 2023, the business is scheduled to debut on NSE EMERGE.

Systango Technologies is launching its IPO with an aim for strategic investment and acquisitions, investment in subsidiaries, and to meet working capital requirements. The IPO comes with a bid lot of 1600. Systango Technologies IPO is lead managed by Hem Securities, and Bigshare Services Private Limited will be the registrar to the issue. According to the terms of the offer, qualified institutional buyers (QIBs) are entitled to 50% of the net offer, HNIs and NIIs to 15%, and retail investors to the remaining 35%.

From FY20 to FY22, the company’s top line increased at a CAGR of 51%, while EBITDA grew at a CAGR of 56%. The bottom line of the company saw a CAGR of 68% between FY20 and FY22. In FY22, the company’s ROE was 49.83%, and its ROCE was 47.62%. On a consolidated basis, the company’s EBITDA margin for FY22 was 22.78%, while its PAT margin for the same year was 21.78%. The majority of Systango Technologies Ltd’s revenue comes from export sales, and the firm serves a variety of clients in ten different countries with the help of its subsidiaries. The company has its headquarters in an Indore Special Economic Zone (SEZ), which enables it to take advantage of tax perks in accordance with SEZ rules. The business operations of the company are further assisted by its fully owned subsidiary firms, Isystango Ltd. in the UK and Systango LLC in the USA.

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