SUMMARY
The offer will open on December 9 and close on December 13
The issue size is INR 1,006 Cr-INR 1,040 Cr
For April-September FY22, it posted a net profit of INR 46.7 Cr, 161% higher year-on-year
C.E. Info Systems, the parent company of MapmyIndia, a digital-based mapping startup has fixed the price band for its initial public offering (IPO) at INR 1,000-INR 1,033 per share.
The offer will open on December 9 and close on December 13.
In a newspaper advertisement, the company said that the issue size is INR 1,006 Cr- INR 1,040 Cr.
Interested investors will have to bid for a minimum of 14 shares and can bid for multiples of 14 thereof.
The IPO consists of an offer for sale (OFS) of 10,063,945 shares. It does not include the sale of fresh shares by the company.
The startup raised the offer size twice since filing its draft red herring prospectus 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.
Qualified institutional investors (QIB) would be offered up to 15% of the net offer – 5,031,972 shares.
Up to 3,522,381 shares or 35% of the offer will be given to the retail investors and up to 1,509,592 shares or 15% have been earmarked for the non-institutional investors.
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.
Shareholding Pattern
- Promoters hold 53.72% stake in the company. The chairman and managing director of the company Rakesh Kumar Verma holds 43.50% stake
- Till the filing of the addendum in October, Verma held a 17.66% stake. It increased after he bought 16.96% stake from PhonePe Singapore, 3.4% from Qualcomm and 7.03% from Zenrin on November 25
- Rashmi Verma, who is among the selling shareholders in the IPO, is part of the promoter group and holds a 17.66% stake. Verma, is the wife of Rakesh Kumar Verma and also the cofounder and chief technology officer of the startup
- The members of the promoter group include the CEO Rohan Verma and Rakhi Prasad, who own 0.53% and 0.01% stake respectively. They are the children of Rakesh and Rashmi
- The promoter group also includes Rupa Amitabh, sister of Rashmi, who according to the RHP holds “negligible” shares in the company
- Flipkart-owned PhonePe India holds 19.15% in the company
- Zenrin and Qualcomm now own 8.78% and 5.07% respectively
- The only other shareholder with more than 1% stake in MapmyIndia is Nayan Arun Jagjivan, who holds 3.73% stake. Jagjivan is among the shareholders who would partly offload their stake in the public offering.
Founded in 1995, C.E Info Systems is among the few tech-based companies that are profitable and planning a stock market debut. 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, the company 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).
