AccelerateBS India
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 06 Jul 2023 – 11 Jul 2023
- Listing date
- 19 Jul 2023
- Face value
- ₹10 per share
- Issue price
- ₹90 per share
- Lot size
- 1,600 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹5.69 Cr
- Market cap at offer price
- ₹19.34 Cr
- Promoter holding
- 100.00% → 70.59% pre-issue → post-issue
- ISIN
- INE0POP01017
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Shreni Shares Ltd.
- Registered office
- Office 604, Quantum Tower, Off S.V.Road, Ram Baug, Malad (West), Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 0 | — | — |
| Market maker | 33,600 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹90
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,44,000 |
| S-HNI (min) | 2 | 3,200 | ₹2,88,000 |
| S-HNI (max) | 6 | 9,600 | ₹8,64,000 |
| B-HNI (min) | 7 | 11,200 | ₹10,08,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 1.38 | — |
| P/E (×) | 65.22 | — |
| Market cap | — | ₹19.34 Cr |
Key performance indicators
- Return on net worth
- 12.77%
- ROCE
- 19.44%
- Debt / equity
- 0.16
- PAT margin
- 7.36%
- NAV per share
- ₹11.02
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About AccelerateBS India
AccelerateBS India Limited, originally formed as a partnership firm M/s. Accelerate Business Solutions on May 20, 2011, was converted into a private limited company on September 09, 2022, and subsequently into a public limited company on April 20, 2023. The company operates in the Marketing Technology (MARTECH) space, providing software and tools that help marketing and sales teams achieve their goals through services including attribution, content management, customer relationship management, analytics, and AI. The company has built in-house capabilities across Digital Experience Platforms (DXP) such as Crownpeak, Optimizely, Contentful, and Strapi, offering full-spectrum services from front-end to backend development and custom integrations with products like Salesforce, Marketo, Brightcove, Adobe Omniture, and SAP Commerce. The company is ISO/IEC 27001:2022 and ISO 9001:2015 certified and earns revenue primarily from the sale of digital technology services. Revenue from operations declined from ₹484.65 Lakhs in FY 2020 to ₹352.21 Lakhs in FY 2022, though rebounded to ₹338.94 Lakhs in the nine-month period ending January 31, 2023.
Company Analysis
from RHPAccelerateBS India Limited is a digital technology services company specializing in marketing technology (MARTECH) platforms and digital experience platforms (DXP) across multiple industry segments.
AccelerateBS India Limited, originally formed as a partnership firm M/s. Accelerate Business Solutions on May 20, 2011, was converted into a private limited company on September 09, 2022, and subsequently into a public limited company on April 20, 2023. The company operates in the Marketing Technology (MARTECH) space, providing software and tools that help marketing and sales teams achieve their goals through services including attribution, content management, customer relationship management, analytics, and AI. The company has built in-house capabilities across Digital Experience Platforms (DXP) such as Crownpeak, Optimizely, Contentful, and Strapi, offering full-spectrum services from front-end to backend development and custom integrations with products like Salesforce, Marketo, Brightcove, Adobe Omniture, and SAP Commerce. The company is ISO/IEC 27001:2022 and ISO 9001:2015 certified and earns revenue primarily from the sale of digital technology services. Revenue from operations declined from ₹484.65 Lakhs in FY 2020 to ₹352.21 Lakhs in FY 2022, though rebounded to ₹338.94 Lakhs in the nine-month period ending January 31, 2023.
Objects of the Issue
- Long-Term Working Capital Requirements ₹108.79 Lakhs p.73
- General Corporate Purpose ₹33.98 Lakhs p.73
Issue Structure
- Total Issue
- ₹568.80 Lakhs (6,32,000 Equity Shares at ₹90 per share)
- Fresh Issue
- ₹169.92 Lakhs (1,88,800 Equity Shares)
- Offer for Sale
- ₹398.88 Lakhs (4,43,200 Equity Shares)
- Price Band
- ₹90 per Equity Share (Fixed Price)
- Lot Size
- Minimum lot size is 1,600 Equity Shares based on IPO price of ₹90
- Face Value
- ₹10 per Equity Share
Business Model
The company earns revenue from the sale of digital technology services, including custom software development, consulting services, and platform implementation services across DXP platforms and related marketing technology solutions. Services are offered to B2B and B2C companies globally, with the company building capabilities to expand service breadth across platforms, tools, and regions through direct hiring, partnerships, and retainership arrangements.
Business Segments
SWOT Analysis
- • Experienced promoters and established management team(p.79)
- • Established customer relationships and integrated technology platform(p.79)
- • Specialty DXP platform capabilities and global network presence(p.79)
- • ISO certifications and accessibility compliance standards(p.83)
- • Listed solution partner with major DXP platforms (Crownpeak, Contentful, Optimizely)(p.83)
- • Experienced promoters with 15+ years in Digital Technology Services industry(p.106)
- • Established customer relationships across multiple industries providing natural diversification(p.106)
- • Full-stack technology capabilities with 100% inhouse capabilities across DXP platforms(p.102)
- • Certified partnerships with leading DXP platforms providing competitive moat(p.106)
- • ISO certifications and accessibility compliance capabilities differentiating service offering(p.102)
- • Membership in MAGNET Global Network providing access to international markets(p.106)
- • Diversified DXP platform capabilities built in-house(p.174)
- • Strong full-stack technical capabilities in modern technologies(p.174)
- • Growing practice in emerging technologies(p.174)
- • Positive cash accruals in preceding years(p.202)
- • Positive net worth and net tangible assets exceeding regulatory minimums(p.202)
- • Strong current ratio indicating liquidity(p.187)
- • Registered office and branch office leased on short-term basis from promoters with expiry dates(p.32)
- • Recently incorporated company with non-compliance risks under Companies Act 2013(p.36)
- • Trademark logo not registered with Registrar of Trademark(p.30)
- • Significant negative cash flows in prior years(p.30)
- • Heavy dependence on top 5 customers for revenues(p.28)
- • No long-term customer commitments and high customer concentration risk(p.28)
- • Restated Financial Statements reviewed by Peer Reviewed Chartered Accountants who is not Statutory Auditor(p.29)
- • Some agreements may be inadequately stamped or unregistered affecting enforceability(p.39)
- • Employee misconduct or errors could damage business and reputation(p.43)
- • Promoters' acquisition cost significantly below IPO price creates valuation risk(p.43)
- • Revenue decline from ₹484.65 lakhs (FY2020) to ₹160.58 lakhs (Jan 2023)(p.83)
- • PAT margin compression from 14.10% (FY2020) to 16.33% (Jan 2023 period)(p.81)
- • Limited lock-in period for non-promoter shareholders (only 1 year vs 3 years for promoters)(p.71)
- • Heavy dependence on promoters for business direction and strategy execution(p.106)
- • Small team size with 38 permanent employees limiting capacity for large-scale projects(p.108)
- • Declining revenue trend with FY22 revenues of Rs 352.21 Lakhs significantly lower than FY20's Rs 484.65 Lakhs(p.102)
- • Company has not made provision for gratuity and leave encashment as per Accounting Standards(p.141)
- • No formal dividend policy and no dividends declared since incorporation(p.139)
- • No employee stock option scheme available for employee retention and incentivization(p.132)
- • Significant dependence on limited customer base(p.191)
- • Revenue decline from prior years(p.185)
- • Declining profitability trend through FY 2022(p.186)
- • Recent conversion from partnership firm with associated adjustments(p.175)
- • Digital Experience Platforms (DXP) Consulting and Implementation Services market(p.21)
- • Expansion of custom software development and consulting services(p.21)
- • MARTECH market growth and expansion of DXP platform capabilities(p.74)
- • Global expansion in North America, Europe, UK and emerging regions(p.74)
- • Talent acquisition and capability building across emerging platforms and tools(p.74)
- • Enhanced brand visibility and market positioning through listing(p.73)
- • India's strong IT sector growth and digital transformation initiatives(p.91)
- • Indian IT industry growth tailwind with IT sector expected to reach USD 19.93 billion by 2025(p.100)
- • India's share in global sourcing market at 59% and positioning as Digital Talent Nation(p.101)
- • Strategy to grow customer base through continuous updates to relationship map and community engagement(p.107)
- • Lucrative support contracts opportunity providing stable recurring revenue and better margins(p.107)
- • White-label services partnership model with agencies in North America and EU for offshore development center operations(p.107)
- • Cost optimization through Ahmedabad development center leveraging lower talent costs and larger talent pool(p.107)
- • Data annotation market growth from USD 250 million to USD 7 billion by 2030 driven by accelerated domestic AI demand(p.98)
- • Expansion into new service offerings(p.174)
- • Growing demand for digital experience platforms and decoupled architecture(p.174)
- • Potential for migration to main board listing(p.216)
- • Export market presence with established capabilities(p.183)
- • 85% of revenues dependent on United States market with exposure to US economic cycles(p.26)
- • COVID-19 pandemic uncertainties and potential further lockdowns affecting operations(p.27)
- • Intense competition from onshore and offshore IT services companies(p.31)
- • Risk of losing business from major customers due to external factors(p.29)
- • Foreign currency exchange rate fluctuations affecting international revenues(p.39)
- • Rapidly evolving technology services industry with unpredictable market demands(p.29)
- • Risk of service defects, errors or disruptions causing customer loss(p.28)
- • Compliance risks with multiple and sometimes conflicting regulatory requirements in different jurisdictions(p.28)
- • Variability in Net Proceeds utilization subject to shareholder approval constraints(p.43)
- • No public trading history and price volatility risk post-listing(p.44)
- • Circuit breaker restrictions could limit shareholder ability to sell at desired prices(p.44)
- • Foreign investment restrictions under Indian law limiting investor base(p.47)
- • Natural calamities and terrorist attacks could harm Indian economy and business(p.47)
- • Changes in tax laws and regulatory environment affecting profitability(p.47)
- • Global economic slowdown and geopolitical risks impacting business sentiment(p.47)
- • Political instability and changes in economic liberalization policies in India(p.47)
- • Intense competition from both organized and unorganized players with competitors having greater resources(p.108)
- • Risk of inability to estimate costs and deliver projects timely impacting profitability and competitive position(p.108)
- • Dependence on highly skilled workforce creating talent retention and recruitment risks(p.108)
- • McKinsey reports indicate 800 million people could lose jobs to automation by 2030 affecting demand(p.97)
- • Geopolitical tensions and potential digital fragmentation creating cross-border business uncertainties(p.97)
- • Risk of social media algorithm impacts on business and potential digital cooperation challenges(p.97)
- • Exposure to COVID-19 and similar pandemic impacts on revenues(p.185)
- • Intense competition from domestic and established players(p.191)
- • Rapid technological change and innovation requirements(p.175)
- • Foreign exchange and currency fluctuation risks(p.177)
- • Interest rate and inflation pressures(p.190)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Keyur Dipakkumar Shah | Promoter and Wholetime Director | 49.80% | 35.11% |
| Mr. Kunal Arvind Shah | Promoter, Chairman and Managing Director | 49.80% | 35.11% |
| Ms. Ishani Kunal Shah | Promoter Group and Executive Director | 0.05% | 0.05% |
| Ms. Ami Keyur Shah | Promoter Group and Executive Director | 0.05% | 0.05% |
| Mr. Arvind Manilal Shah | Promoter Group | 0.05% | 0.05% |
| Ms. Meghna Apurva Doshi | Promoter Group | 0.05% | 0.05% |
| Ms. Ami Mehul Shah | Promoter Group | 0.05% | 0.05% |
| Ms. Devanshi Prasant Gosalia | Promoter Group | 0.05% | 0.05% |
| Ms. Jigna Miral Shah | Promoter Group | 0.05% | 0.05% |
| Mr. Apurva Suryakant Doshi | Promoter Group | 0.05% | 0.05% |
| Mr. Kunal Arvind Shah | Promoter | 49.80% | — |
| Mr. Keyur Dipakkumar Shah | Promoter | 49.80% | — |
| Keyur Shah | Promoter | 50.00% | — |
| Kunal Shah | Promoter | 50.00% | — |
| Kunal Arvind Shah | Selling Shareholder | — | — |
| Keyur Dipakkumar Shah | Selling Shareholder | — | — |
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.