Tuesday 16 January 2018

Ipo update: NEWGEN SOFTWARE TECHNOLOGIES

Apply for 15-20% gain


Short Note about the Company:
The company, established in 1992, deals in business process management software for banks, business process outsourcing firms, government organisations and sell products across 60 countries. The company is financially doing very well and registering good growth year-on-year.
The segment in which it operates is a USD 18 billion industry globally and expected to be USD 30 billion. It has started expanding its overseas footprint. In India and Middle East it is a dominant player. It is looking for global opportunity now and Gartner has recognised as one of the leading player, which has helped it in generating business lead in overseas market.
The company has overseas offices in the US, Canada, Singapore, United Kingdom and Dubai. Newgen has registered compounded annual growth rate of 21 per cent over last five years and expects similar growth in coming years.
It has seen lots of great software services companies from India. It is one of the unique software product company from India that has global footprint. Product companies take a lot of time to mature, but then they have a great future.The company has workforce of around 2,200 employees out of which 238 are part of its research and development team. It has 32 patents registered for BPM software and now working on host of new technologies, including artificial intelligence, robotic process automation etc.



IPO Opens on : 16 January 2018
IPO Closes on : 18 January 2018
Issue Type: Book Built Issue IPO
Issue Size: Rs. 425 crores on upper price band.
Fresh issue of INR 95 Crores and offer for sale of 13453932 shares
Face Value: INR 10
Price Band: INR 240-245 Per Equity Share
Minimum Order Quantity:61 Shares
Listing will at: NSE,BSE


Financials:
Total Income of 2016-17 INR 433.80
Net Profit of 2016-17 INR 52.40
Earnings per Share (EPS) INR 10.53
Equity Capital as on 31.3.2017
Equity Capital after the IPO: Rs.
Upper Price Band/last EPS: 22.27
Book Value of the Share as per last Balancesheet INR 43.34
Upper offer price/Book Value Ratio: 5.65


Tentative timetable:
IPO Closes on 18 January 2018
Allotment Announcement: 23 January,2018
Refund: 24 January 2018
Shares credit to Demat Accounts:25 January 2018
Listing  expected on 29 January 2018

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