Basilic Fly Studio
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 01 Sep 2023 – 05 Sep 2023
- Listing date
- 11 Sep 2023
- Face value
- ₹10 per share
- Issue price
- ₹97 per share
- Lot size
- 1,200 shares
- Issue type
- Book Building issue
- Total issue size
- ₹66.35 Cr
- Market cap at offer price
- ₹225 Cr
- Promoter holding
- 85.40% → 59.90% pre-issue → post-issue
- ISIN
- INE0OCC01013
- Registrar
- Purva Sharegistry (India) Pvt.Ltd.
- Lead managers
- GYR Capital Advisors Pvt.Ltd.
- Registered office
- Tower A, KRC Commerzone, Mount Poonamallee Road, Porur, Tamil Nadu
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 | 17,43,600 | — | — |
| Market maker | 10,26,000 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹97
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,16,400 |
| S-HNI (min) | 2 | 2,400 | ₹2,32,800 |
| S-HNI (max) | 8 | 9,600 | ₹9,31,200 |
| B-HNI (min) | 9 | 10,800 | ₹10,47,600 |
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 (₹) | 16.32 | — |
| P/E (×) | 5.94 | — |
| Market cap | — | ₹225 Cr |
Key performance indicators
- Return on net worth
- 87.59%
- ROCE
- 104.73%
- Debt / equity
- 0.14
- PAT margin
- 1,032.42%
- NAV per share
- ₹18.63
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Basilic Fly Studio
Basilic Fly Studio Limited was incorporated as a private limited company on January 28, 2016, and converted to a public limited company on May 19, 2023. The company's promoters started business operations as a partnership firm in 2013, which was dissolved in 2019. The company is a VFX studio with subsidiaries operating in Canada and the UK. It holds proficiency in the VFX industry and has delivered high-quality VFX solutions for movies, TV, net series, and commercials. The company has established a strong presence by forging direct partnerships with diverse production houses and collaborating with prominent VFX companies and studios through sub-contracting arrangements. VFX companies and studios often outsource to specialized teams equipped with expertise, infrastructure, and technology to manage large-scale VFX projects.
Company Analysis
from RHPBasilic Fly Studio is a visual effects (VFX) studio headquartered in Chennai, India, specializing in creating visual experiences for movies, TV, net series, and commercials across the global entertainment industry.
Basilic Fly Studio Limited was incorporated as a private limited company on January 28, 2016, and converted to a public limited company on May 19, 2023. The company's promoters started business operations as a partnership firm in 2013, which was dissolved in 2019. The company is a VFX studio with subsidiaries operating in Canada and the UK. It holds proficiency in the VFX industry and has delivered high-quality VFX solutions for movies, TV, net series, and commercials. The company has established a strong presence by forging direct partnerships with diverse production houses and collaborating with prominent VFX companies and studios through sub-contracting arrangements. VFX companies and studios often outsource to specialized teams equipped with expertise, infrastructure, and technology to manage large-scale VFX projects.
Objects of the Issue
- Expenditure for setup of Studio/Facility at Hyderabad and Salem ₹2135.72 lakhs p.18
- Expenditure for adding infrastructure to further strengthen the existing facilities/offices of the company located at Chennai and Pune ₹1961.4 lakhs p.18
- Making investment through equity in the subsidiaries for expansion of workspace by acquiring new office space located at London and strengthen the existing facilities/offices located at Vancouver ₹465.14 lakhs p.18
- General Corporate Purposes p.18
- Issue Expenses p.18
- Expenditure for setup of Studio/Facility at Hyderabad and Salem Up to 2,135.72 lakhs p.78
- Expenditure for adding infrastructure to further strengthen the existing facilities/offices of the company located at Chennai and Pune Up to 1,961.4 lakhs p.78
- Making investment through equity in the subsidiaries for expansion of workspace by acquiring new office space located at London and strengthen the existing facilities/offices located at Vancouver Upto 465.14 lakhs p.78
- General Corporate Purposes [●] p.78
- Issue Expenses [●] p.78
- Not explicitly stated in this part of document - Objects of the Offer section not included in this excerpt
Issue Structure
- Total Issue
- Up to ₹[●] Lakhs (68,40,000 equity shares)
- Fresh Issue
- Up to ₹[●] Lakhs (62,40,000 equity shares)
- Offer for Sale
- Up to ₹[●] Lakhs (6,00,000 equity shares)
- Price Band
- [●] (to be decided by company in consultation with BRLM)
- Lot Size
- [●] (to be decided)
- Face Value
- ₹10 per equity share
Business Model
The company earns revenue primarily through visual effects services provided to production houses, film directors, and other industry participants. A significant majority of revenue is generated through strategic sub-contracting agreements with VFX companies and studios, which represented 90.34% (FY 2021), 85.48% (FY 2022), and 89.61% (FY 2023) of revenue respectively. The company also generates projects through direct relationships with production houses and film directors.
Business Segments
SWOT Analysis
- • Established VFX studio with international subsidiaries(p.17)
- • Strong client partnerships and sub-contracting arrangements(p.17)
- • Demonstrated revenue growth and profitability(p.19)
- • Established industry expertise with successful track record on major Hollywood productions(p.111)
- • Advanced technology infrastructure and software stack(p.112)
- • Experienced promoter-led management with technical expertise(p.112)
- • TPN Certified security standards recognized by major studios(p.113)
- • Strong skilled workforce with 474 trained technical and management professionals(p.113)
- • Portfolio of recognized award-winning work(p.111)
- • Significant revenue growth trajectory over three years(p.92)
- • Advanced technology and skilled workforce(p.117)
- • Quality control and project confidentiality(p.117)
- • Established industry relationships and direct partnerships(p.117)
- • Market expertise and brand value(p.117)
- • Experienced management team(p.117)
- • Established track record in VFX delivery with international clientele(p.203)
- • Revenue growth of 212% YoY from FY2022 to FY2023(p.207)
- • Strong expansion in workforce and project capacity(p.207)
- • International presence through subsidiaries in Canada and UK(p.186)
- • Positive profitability with significant profit margins(p.208)
- • High client concentration and revenue dependency(p.23)
- • Dependency on VFX companies and studios for significant revenue(p.26)
- • Outstanding unsecured loans that can be recalled(p.29)
- • History of statutory and tax compliance delays(p.23)
- • High dependence on key personnel(p.27)
- • Negative cash flows in past periods(p.28)
- • High dependence on sub-contracted VFX work from studios rather than direct production house relationships(p.104)
- • Unproven profitability on consolidated basis with variable performance across periods(p.92)
- • Limited geographical presence with most operations concentrated in India(p.105)
- • New subsidiaries in London and Vancouver with minimal or no operational revenue generation(p.105)
- • High operational costs(p.117)
- • Technology skills gap and rapid obsolescence(p.117)
- • Dependence on key managerial personnel(p.117)
- • Lack of owned immovable property(p.118)
- • High dependence on a concentrated customer base(p.210)
- • Increasing employee benefit expenses reducing profitability(p.207)
- • Significant increase in direct expenses(p.208)
- • Finance costs rising due to increased borrowings(p.208)
- • Expanding global VFX and animation market(p.17)
- • Growing demand for AR and digital content(p.17)
- • Rapid growth in global gaming market(p.17)
- • Asia-Pacific as largest emerging gaming market(p.17)
- • Expansion through new studio facilities(p.18)
- • International expansion through subsidiaries(p.18)
- • Growth in Indian VFX industry with world-class standards(p.17)
- • Rapid global VFX market expansion with high growth forecast(p.97)
- • Surge in OTT platform demand driving increased VFX content creation(p.100)
- • Indian VFX industry positioned as global delivery center with cost advantages(p.113)
- • Expansion into emerging geographies and underserved markets(p.113)
- • Growing adoption of extended reality (XR) and emerging technologies creating new content demand(p.100)
- • Indian government support for AVGC sector through policy initiatives and infrastructure investment(p.102)
- • Increase in domestic VFX spending by Indian filmmakers(p.103)
- • Increased Indian content demand on global OTT platforms(p.117)
- • Growing demand for high-quality domestic and episodic content(p.117)
- • Multi-language content expansion and volume growth(p.117)
- • Virtual production and rising VFX budgets(p.117)
- • Growing global entertainment industry demand for VFX services(p.207)
- • Expansion into new geographic markets including Hyderabad and Salem(p.223)
- • International outsourcing demand enabling cost-effective services(p.207)
- • Diversification into international gaming industry(p.210)
- • Enhanced international collaborations with production houses(p.207)
- • Rapidly evolving technology and consumer tastes in VFX market(p.23)
- • Inability to obtain or renew statutory licenses and permits(p.26)
- • Intense competition from domestic and foreign competitors(p.26)
- • Currency fluctuation risks from international operations(p.24)
- • Piracy and intellectual property infringement risks(p.27)
- • Government policy changes and regulatory risks(p.36)
- • Political instability and economic liberalization policy changes(p.36)
- • Natural calamities impact on Indian economy(p.37)
- • Intense competition from established mid-sized North American and European VFX firms(p.113)
- • Shortage of skilled VFX talent affecting industry capacity and project execution(p.100)
- • High capital investment and operational costs for VFX infrastructure and software licensing(p.97)
- • Dependency on global OTT platforms and production houses subject to market cyclicality(p.99)
- • Emerging low-cost competitors from other geographies in VFX outsourcing market(p.113)
- • Rapid technological change requiring continuous investment in software, hardware and training(p.104)
- • Talent retention and availability challenges(p.117)
- • Pandemic-related operational disruptions(p.117)
- • High market competition(p.117)
- • Rapid technology obsolescence(p.117)
- • Intense competition from both domestic and global VFX providers(p.203)
- • Fragmented market with low entry barriers enabling new competitors(p.203)
- • Economic volatility and unpredictable global events affecting demand(p.203)
- • Market slowdowns reducing demand for VFX services(p.203)
- • Pending GST-related regulatory proceedings(p.215)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Balakrishnan | Promoter | 63.73% | — |
| Ms. Yogalakshmi S | Promoter | 21.67% | — |
| Balakrishnan | Promoter | 63.73% | [●] |
| Yogalakshmi S | Promoter | 21.67% | [●] |
| Shyam Sundar S | Promoter Group | 0.02% | [●] |
| Balakrishnan | Promoter | 63.73% | — |
| Yogalakshmi S | Promoter | 21.67% | — |
| Balakrishnan | Promoter/Managing Director | 63.70% | — |
| Sundaram Yogalakshmi | Promoter/Director | 21.67% | — |
| Mr. Balakrishnan | Selling Shareholder | — | — |
| Ms. Yogalakshmi S | Selling Shareholder | — | — |
Leadership
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.