Mumbai-based Seshasai Technologies files for DRHP with SEBI for IPO

Seshasai Technologies, a technology-driven multi-location solutions provider, has filed its draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).

This issue is Rs. A fresh issue of up to 600 crore equity shares and an offer for sale (OFS) of 39.37 lakh equity shares are proposed as a mix.

Prajnat Pravin Lalwani and Gautam Sampatraj Jain will deduct their share under the OFS component.

The offer will also include reservation for subscription by eligible employees and discount will be offered to employees bidding in the employee reservation portion.

From fresh issue Rs. 195.33 crore will be used to fund capital expenditure for expansion of existing manufacturing units and Rs. 300 crore will be used for repayment and/or prepayment of certain outstanding loans of the Company and General. Corporate purposes.

The company, in consultation with the Book Running Lead Managers (BRLMs), as a pre-IPO placement of Rs. May consider further issue of securities up to 120 crores in aggregate. If the pre-IPO placement is completed, the amount raised under the pre-IPO placement will be reduced from the new issue.

The offer will be made through a book-building process, wherein not more than 50% of the net offer will be allotted to qualified institutional buyers, and not less than 15% and 35% of the net offer will be allotted to non-institutional and retail. Individual investors respectively.

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About Seshasai Technology

Seshaasai Technologies is a technology driven, multi-location solutions provider specializing in payment solutions, communication and fulfillment services. Primarily catering to the banking, financial services and insurance (BFSI) sector, the company places data security and compliance at the heart of its offerings.

In addition to BFSI, the company also provides Internet of Things (IoT) solutions to diverse customers across various industries.

Seshasai is the leading player in India’s payment card manufacturing sector, accounting for 34.5% market share in credit and debit card issuance in FY2024, up from 23.7% in FY2022. It is also known as one of the largest producers of Czech leaves. the country

The company operates in three primary business verticals: Payment Solutions, Communication and Fulfillment Solutions and IoT Solutions. Over the years, Seshasai has leveraged her expertise in printing technology, advanced production equipment and problem-solving abilities to deliver customized solutions in areas such as education and global direct mailing.

As one of the few vendors in India with approved facilities to manufacture plastic, metal, durable and biometric cards as well as wearables and payment stickers, Seshasai demonstrates strong manufacturing capabilities. Its units have a daily capacity of 0.47 million cards and 1.25 million RFID tags (by June 30, 2024).

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Seshasai Technologies Financial Operations

Seshasai Technologies’ standalone revenue from operations in FY2022 is expected to be Rs. 672.56 crore in FY 2024 to Rs. 1558.26 crores. In FY 2024 Rs. 37.35 crores to Rs. 21220 crore profit was made. 2024 growing at a CAGR of 112.88%.

For the three months ended June 30, 2024, consolidated income from operations stood at Rs. 360.50 crore and profit after tax was Rs. 40.49 crores.

BLRM and Seshaasai Technologies registered in IPO

IIFL Capital Services Limited, ICICI Securities Limited and SBI Capital Markets Limited are the book-running lead managers and Link Intime India Private Limited is the registrar of the issue.

Seshasai Technologies Listing Platform

It is proposed to list the shares of Seshasai Technologies on BSE and National Stock Exchange of India (NSE).

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