SVS Ventures SME
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 30 Dec 2022 – 04 Jan 2023
- Listing date
- 12 Jan 2023
- Face value
- ₹10 per share
- Issue price
- ₹20 per share
- Lot size
- 6,000 shares
- Total issue size
- ₹11.24 Cr
- Market cap at offer price
- ₹42.70 Cr
- Promoter holding
- 90.49% → 66.66% pre-issue → post-issue
- ISIN
- INE0MID01012
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- First Overseas Capital Ltd.
- Registered office
- Block A, Office No.1009, Mondeal Heights, Near Panchratna Party Plot, S.G.Highway, Gujarat
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Market maker | 2,82,000 | — | — |
Application size
Minimum 6,000 shares per lot, in multiples, at ₹20
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 6,000 | ₹1,20,000 |
| S-HNI (min) | 2 | 12,000 | ₹2,40,000 |
| S-HNI (max) | 8 | 48,000 | ₹9,60,000 |
| B-HNI (min) | 9 | 54,000 | ₹10,80,000 |
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.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 10.81 | — |
| P/E (×) | 1.85 | — |
| Market cap | — | ₹42.70 Cr |
Key performance indicators
- Return on net worth
- 69.32%
- PAT margin
- 21.12%
- NAV per share
- ₹13.51
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About SVS Ventures SME
SVS Ventures Limited, incorporated in 2015 and converted to a public company in 2022, operates in the real estate sector with a focus on residential and commercial property development. The company, promoted by Mr. Shashikant Vedprakash Sharma who has over 10 years of experience in real estate, entered into a business takeover agreement in April 2022 with the Erstwhile Proprietary Firm M/s Vijay & Co., which had been in the real estate business since 2014. The company develops versatile residential projects with innovative architecture, strong project execution, and quality construction, primarily catering to middle and high-income groups in and around Ahmedabad. Projects are designed with various amenities including security systems, sports facilities, recreational areas, and electricity backup.
Company Analysis
from RHPSVS Ventures Limited is a real estate development company focused on construction and development of residential villas and apartment projects in Ahmedabad, Gujarat.
SVS Ventures Limited, incorporated in 2015 and converted to a public company in 2022, operates in the real estate sector with a focus on residential and commercial property development. The company, promoted by Mr. Shashikant Vedprakash Sharma who has over 10 years of experience in real estate, entered into a business takeover agreement in April 2022 with the Erstwhile Proprietary Firm M/s Vijay & Co., which had been in the real estate business since 2014. The company develops versatile residential projects with innovative architecture, strong project execution, and quality construction, primarily catering to middle and high-income groups in and around Ahmedabad. Projects are designed with various amenities including security systems, sports facilities, recreational areas, and electricity backup.
Objects of the Issue
- To meet the Working Capital requirements ₹804.40 Lakhs p.22
- General Corporate Expenses ₹260.00 Lakhs p.22
- To meet the expenses of the Issue ₹60.00 Lakhs p.22
- To meet the Working Capital requirements ₹804.40 lakhs p.73
- General Corporate Expenses ₹260.00 lakhs p.73
Issue Structure
- Total Issue
- ₹1124.40 Lakhs
- Fresh Issue
- 56,22,000 Equity Shares at Rs. 20.00 per share aggregating ₹1124.40 Lakhs
- Offer for Sale
- Nil - There is no Offer for Sale as Our Company is making only a Fresh Initial Public Offer/Issue.
- Price Band
- Fixed Price at Rs. 20.00 per Equity Share
- Lot Size
- 6,000 shares as minimum lot size and in multiples of 6,000 thereafter
- Face Value
- Rs. 10.00 per Equity Share
Business Model
SVS Ventures generates revenue from the development and sale of residential villas and apartment units in Ahmedabad. The company identifies suitable project sites, acquires land or development rights, and constructs residential and commercial properties which are then sold to customers. The company sources building materials from third-party suppliers and engages contractors and sub-contractors for construction work. For the financial year ended March 31, 2022, revenue from operations was Rs. 675.07 Lakhs (combined entity), and for the 9 months ended June 30, 2022, it was Rs. 129.99 Lakhs.
Business Segments
SWOT Analysis
- • Experienced promoter with over 10 years in real estate sector(p.19)
- • Diversified residential portfolio with multiple accommodation types and amenities(p.19)
- • Strategic focus on middle and high-income residential segments(p.19)
- • Established business operations since 2014-2015 through predecessor entity(p.19)
- • Experienced promoter in real estate sector with 10+ years of industry experience(p.103)
- • Scalable business model with outsourcing strategy emphasizing quality(p.103)
- • Strong execution capability and timely project delivery record(p.103)
- • Quality-focused construction approach and material standards(p.104)
- • Company has obtained necessary governmental approvals and licenses for current business operations(p.185)
- • Three-year track record of operations meeting regulatory requirements for SME listing(p.188)
- • Positive cash accruals from operations demonstrating profitability(p.188)
- • Positive net worth and tangible asset base(p.188)
- • No pending investor complaints and clean compliance history(p.200)
- • 100% underwriting and market-making support for three years(p.205)
- • Outstanding litigation against promoter and directors with criminal and tax proceedings(p.26)
- • High working capital requirements with significant inventory and receivables concentration(p.27)
- • Concentration of supplier relationships with top 5 suppliers accounting for majority of purchases(p.30)
- • Multiple regulatory compliance failures and secretarial deficiencies(p.28)
- • Negative cash flows from operating activities in recent period(p.28)
- • Statutory auditor emphasis of matters on inventory, asset recoverability and compliance(p.29)
- • No insurance coverage against operating hazards and losses(p.29)
- • Unregistered corporate logo without trademark protection(p.29)
- • Minimal insurance coverage for business operations(p.106)
- • Very small workforce with limited organizational capacity(p.107)
- • Limited intellectual property protection and brand registration(p.107)
- • No prior public market experience or track record(p.72)
- • Old and non-perishable inventory held(p.158)
- • Non-compliance with professional tax registration and deduction(p.158)
- • Outstanding tax demands from Income Tax Department(p.181)
- • Absence of formal dividend policy(p.144)
- • Pending criminal litigation against promoter(p.181)
- • No registered intellectual property rights or trademarks(p.186)
- • Mandatory two-year lock-in on SME platform before migration to main board(p.205)
- • Limited scale of post-issue paid-up capital relative to main board eligibility(p.188)
- • Indian real estate market expected to grow significantly with government incentives and urbanization(p.20)
- • Large housing shortage and government affordable housing programs driving demand(p.21)
- • Ahmedabad emerging as a favored investment destination for NRI investment(p.20)
- • Government policies supporting real estate growth including PMAY, tax benefits, and REIT platform(p.21)
- • Institutional investment in real estate sector expected to increase significantly(p.20)
- • Shift from family-owned to professionally managed real estate companies creating competitive advantage(p.21)
- • Significant growth in Indian real estate sector with government support(p.86)
- • Strong demand for affordable housing driven by government schemes(p.87)
- • Expansion potential through joint development partnerships(p.104)
- • Geographic expansion opportunities beyond current Ahmedabad operations(p.104)
- • Growing institutional investment and capital inflow in real estate(p.85)
- • Potential migration to main board after two years of SME platform listing(p.205)
- • Access to public capital markets through IPO(p.188)
- • Market making arrangement ensuring liquidity for three years(p.205)
- • Real estate market heavily dependent on economic conditions and subject to cyclical fluctuations(p.26)
- • Significant increases in construction material and labor costs affecting project profitability(p.35)
- • Regulatory and government policy changes affecting real estate operations and incentives(p.34)
- • Dependency on obtaining multiple regulatory approvals and licenses for project development(p.31)
- • Risk of government compulsory acquisition of land through eminent domain(p.35)
- • Fluctuations in market value of land between acquisition and project sale affecting profitability(p.35)
- • Potential supply chain disruptions in construction materials and labor availability(p.35)
- • COVID-19 pandemic continuing to impact business operations and market conditions(p.31)
- • Natural disasters and weather conditions causing operational disruptions and losses(p.33)
- • Macroeconomic downturn and changes in interest rates affecting demand and financing costs(p.44)
- • Intense competition from organized and unorganized real estate players(p.106)
- • Regulatory requirements and compliance burdens under RERA(p.108)
- • Dependence on contractor relationships and external project execution(p.104)
- • Geographic concentration of all operations in Ahmedabad region(p.104)
- • Volatility in real estate prices affected by external factors beyond control(p.105)
- • Regulatory approval requirements and potential delisting risks(p.209)
- • Foreign exchange conversion risk for non-resident investors(p.221)
- • Restrictions on foreign investor participation and capital flows(p.206)
- • Dependence on SEBI and regulatory compliance for continued operations(p.219)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Shashikant Vedprakash Sharma | Promoter | 69.17% | 50.96% |
| Shashikant Sharma HUF | Promoter Group & Relatives | 21.32% | 15.70% |
| Mr. Shashikant Vedprakash Sharma | Promoter | 69.17% | 50.96% |
| Shashikant Sharma HUF | Promoter Group | 21.32% | 15.70% |
| Shashikant Vedprakash Sharma | Promoter | 69.17% | — |
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.