MapmyIndia IPO Subscribed 154 Times Backed By Robust Investor Interest

The initial public offering (IPO) of C.E. Info Systems, the parent company of digital mapping startup MapmyIndia was subscribed 154.71 times by the closure of the offer at 5 p.m. today (December 13th, 2021).

At INR 1,033 a share, the upper limit of the IPO price band, the offer attracted bids worth INR 1.12 Lakh Cr.

The IPO which included only offer for sale (OFS) by existing investors witnessed robust demand from across investor categories.

• In total bids were placed for 1,08,98,95,450 shares (154.71 times), against the 70,44,762 shares on offer.
• The non institutional investors (NII), including corporates and high net worth individuals booked the earmarked portion 424.69 times, with bids placed for 64,11,15,538 shares, compared to the allocated 15,09,592 shares for NIIs.
• The qualified institutional buyers (QIBs) were allocated 20,12,789 shares, while they bid for 39,52,30,178 shares (196.36 times) by the end of the offer
• The retail portion was subscribed 15.20 times with retail individual investors (RIIs) placing bids for 5,35,49,734 shares, compared to the 35,22,381 shares kept aside for them.

Shares of the company are expected to list on the exchanges in the next 10 days.

Anchor Investment

On December 8th, 2021, the startup raised INR 311.88 Cr from anchor investors by allotting 30,19,183 shares at INR 1,033 per share.

Foreign portfolio investors including Fidelity, Nomura, Goldman Sachs, Morgan Stanley, Aberdeen, HSBC and White Oak invested in MapmyIndia’s anchor round.

Further, the domestic mutual funds which participated included SBI, HDFC, ICICI Prudential, Aditya Birla Sun Life, Tata and Sundaram.

MapmyIndia: Offer For Sale

The IPO opened on December 9th, 2021 at the price band of INR 1,000 – INR 1,033. The IPO consisted of an offer for sale (OFS) of 10,063,945 shares. It does not include the sale of fresh shares by the company.

MapmyIndia raised the offer size twice since filing its draft red herring prospectus (DRHP) in September. In October this year, the PhonePe-backed company had increased its offer size to 9,589,478 equity shares, from the initial offer size of 7,547,959 shares.

The major selling shareholders of this IPO include promoter Rashmi Verma, who will offload up to 4,251,044 shares.

US-based technology major Qualcomm will sell up to 2,701,407 shares and Zenrin will offload up to 1,369,961 shares.

MapmyIndia’s Financials

Founded in 1995, C.E Info Systems is among the few tech-based companies that are profitable and got listed. In FY21, it posted a profit of INR 59.4 Cr in FY21, a 157% rise from INR 23.1 Cr profit it posted in FY20. The company’s total income swelled up to INR 192.2 Cr in FY21 from INR 163.4 Cr in FY20.

In the current financial year, for the period of April-September, MapmyIndia reported a net profit of INR 46.7 Cr, 161% higher than INR 17.8 Cr reported during the same period of the last fiscal (FY21).