Vertexplus Technologies
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 02 Mar 2023 – 06 Mar 2023
- Listing date
- 15 Mar 2023
- Face value
- ₹10 per share
- Issue price
- ₹96 per share
- Lot size
- 1,200 shares
- Issue type
- Book Building issue
- Total issue size
- ₹14.20 Cr
- Market cap at offer price
- ₹52.60 Cr
- Promoter holding
- 100.00% → 73.00% pre-issue → post-issue
- ISIN
- INE0NLB01018
- Registrar
- Skyline Financial Services Pvt.Ltd.
- Lead managers
- Beeline Capital Advisors Pvt.Ltd.
- Registered office
- B-19, 10-B Scheme, Gopalpura Road, Rajasthan
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 | 4,15,200 | — | — |
| Market maker | 74,400 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹96
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,15,200 |
| S-HNI (min) | 2 | 2,400 | ₹2,30,400 |
| S-HNI (max) | 8 | 9,600 | ₹9,21,600 |
| B-HNI (min) | 9 | 10,800 | ₹10,36,800 |
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 (₹) | 4.56 | — |
| P/E (×) | 21.05 | — |
| Market cap | — | ₹52.60 Cr |
Key performance indicators
- Return on net worth
- 24.61%
- ROCE
- 43.02%
- Debt / equity
- 0.37
- PAT margin
- 8.92%
- NAV per share
- ₹18.55
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Vertexplus Technologies
Vertexplus Technologies Limited was originally incorporated on October 20, 2010 as Vertexplus Technologies Private Limited in Rajasthan and converted into a public limited company vide fresh certificate of incorporation dated July 25, 2022. Headquartered at B-19, Ground Floor, 10-B Scheme, Gopalpura Road, Jaipur, with development facilities at Jaipur and Noida, it also owns 80% of Singapore-based subsidiary Vertexplus Technologies Pte Ltd (incorporated December 10, 2017). The company delivers services across four offerings — Consulting Services (technology consulting, digital transformation, security & risk management, experience design, digital media, machine intelligence/AI, IoT, blockchain, video analytics), Technology Services (enterprise mobility, application and product engineering, integration, quality engineering, cloud, intelligent automation), Infrastructure Services (managed services, infrastructure transformation, system integration, monitoring & alerting) and Outsourcing Services (BPO, staffing, managed sourcing, software & IT support) — using off-shore, on-site, hybrid, global and strategic-partnership delivery models. It earns service fees from clients under these lines: standalone revenue was ₹1,949.25 Lakhs in Fiscal 2022 (consolidated ₹2,132.04 Lakhs) with profit after tax of ₹182.60 Lakhs standalone (₹186.05 Lakhs consolidated). Its top ten customers contributed 99.20% of FY2022 standalone revenues, exports were ₹255.27 Lakhs (13.10%) of FY2022 standalone sales, and it employed 310 staff as on August 31, 2022. The IPO comprises a fresh issue of up to 14,80,000 equity shares to be listed on NSE EMERGE.
Company Analysis
from DRHPVertexplus Technologies Limited is an ISO 9001:2015 and ISO/IEC 27001:2013 certified Information Technology company engaged in IT consulting, technology services, infrastructure services, outsourcing and digital solutions.
Vertexplus Technologies Limited was originally incorporated on October 20, 2010 as Vertexplus Technologies Private Limited in Rajasthan and converted into a public limited company vide fresh certificate of incorporation dated July 25, 2022. Headquartered at B-19, Ground Floor, 10-B Scheme, Gopalpura Road, Jaipur, with development facilities at Jaipur and Noida, it also owns 80% of Singapore-based subsidiary Vertexplus Technologies Pte Ltd (incorporated December 10, 2017). The company delivers services across four offerings — Consulting Services (technology consulting, digital transformation, security & risk management, experience design, digital media, machine intelligence/AI, IoT, blockchain, video analytics), Technology Services (enterprise mobility, application and product engineering, integration, quality engineering, cloud, intelligent automation), Infrastructure Services (managed services, infrastructure transformation, system integration, monitoring & alerting) and Outsourcing Services (BPO, staffing, managed sourcing, software & IT support) — using off-shore, on-site, hybrid, global and strategic-partnership delivery models. It earns service fees from clients under these lines: standalone revenue was ₹1,949.25 Lakhs in Fiscal 2022 (consolidated ₹2,132.04 Lakhs) with profit after tax of ₹182.60 Lakhs standalone (₹186.05 Lakhs consolidated). Its top ten customers contributed 99.20% of FY2022 standalone revenues, exports were ₹255.27 Lakhs (13.10%) of FY2022 standalone sales, and it employed 310 staff as on August 31, 2022. The IPO comprises a fresh issue of up to 14,80,000 equity shares to be listed on NSE EMERGE.
Objects of the Issue
- To Meet Working Capital Requirement p.82
- General Corporate Purpose p.83
- To Meet the Issue Expenses (Public Issue Expenses) p.83
Issue Structure
- Total Issue
- Upto 14,80,000 Equity Shares aggregating to ₹ [●] Lakhs (amount to be finalised upon determination of Issue Price)
- Fresh Issue
- Up to 14,80,000 Equity Shares aggregating up to [●] Lakhs
- Offer for Sale
- Nil (entire issue constitutes fresh issue of equity shares)
- Face Value
- ₹10/- each
Business Model
Earns revenue by charging client fees for IT services across four streams — Consulting Services, Technology Services, Infrastructure Services and Outsourcing Services — delivered through off-shore, on-site, hybrid, global and strategic partnership models. Per the standalone revenue breakup (Fiscal 2022): Technology Services ₹1,071.14 Lakhs, Outsourcing Services ₹702.83 Lakhs, Infrastructure Services ₹77.90 Lakhs and Consulting Services ₹97.38 Lakhs, out of total standalone revenue of ₹1,949.25 Lakhs.
Business Segments
SWOT Analysis
- • ISO-certified IT company with quality and information-security credentials(p.100)
- • Global delivery network serving clients across geographies(p.101)
- • Experienced Promoter driving the business(p.101)
- • Existing client relationships generating repeat business and retention(p.101)
- • Consistent growth in revenue and profitability (FY20-FY22)(p.100)
- • Company-stated core strengths: quality service, skilled staff, customer relations and cost control(p.109)
- • Extreme customer concentration — top 10 customers contribute ~99% of revenues(p.24)
- • Outstanding indebtedness requiring significant cash flows to service(p.27)
- • All operating premises are leased — registered office rented from Promoters and Jaipur facility lease expired(p.26)
- • Unsecured loans from Banks, Director and Promoter group callable anytime(p.28)
- • Continued dominant control by Promoters/Promoter Group (100% pre-Issue holding)(p.37)
- • Past delays in statutory filings with RoC and non-compliances(p.27)
- • Related party transactions with Promoters/Directors/Group companies(p.29)
- • Indian IT industry growing rapidly (US$ 227 bn revenue, +15.5% YoY in FY22)(p.97)
- • Rising domestic IT spend (expected US$ 101.8 bn in 2022 vs US$ 81.89 bn in 2021)(p.97)
- • India's leadership in global services sourcing (~55% market share) offers export runway(p.97)
- • Strategy to deepen and broaden existing client engagements(p.102)
- • Strategy to invest in upgrading infrastructure and technology(p.102)
- • IPO proceeds earmarked for working capital to fund business expansion(p.79)
- • Intense competition from large GSIs and local players pressuring pricing and margins(p.24)
- • Rapid technological change and risk of service obsolescence in the IT market(p.23)
- • Foreign exchange rate volatility impacting results on foreign-currency exposures(p.26)
- • Global economic slowdown and COVID-19 pandemic affecting demand(p.31)
- • Changes in tax, duty or levy policies may raise tax liability(p.29)
- • Rising manpower/salary costs in the Indian IT industry eroding margins(p.33)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Sandeep Kumar Pahariya | Promoter | 60.00% | — |
| Mrs. Niru Pahariya | Promoter | 39.88% | — |
Leadership
Auto-extracted from the company's DRHP 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 DRHP before relying on it.