CMS Info Systems Limited is India’s largest cash management company based on the number of ATM points retail pick-up points that Initial public offering (IPO) will open on 21st December 2021.
CMS Info Systems IPO Subscription Here are key important points that you should know before subscribing to the issue:
|Issue Date||21st Dec’21|
|Closing Date||23rd Dec’21|
|Lot Size||69 Shares|
|Offer For Sale||1100 CR|
The Objective of the IPO is to sell the shares and get the facility to list the shares on the stock exchange.
The Rs 1,100 crore IPO is offered for sale (OFS) by Sion Investment Holdings Pte Ltd, which is 100 percent owned by the company. The three-days offer, which opens on December 21 and closes on December 23. The offer price band is set at Rs 205-216 per share. Investors can bid for at least 69 shares and multiples. Knowledgeable investors can invest a minimum of Rs 14,904 at one time and a maximum of Rs 1,93,752 in 13 lots. A single investor can apply for up to 13 lots.
Corporate business involves the installation, storage, and management of assets and technology solutions under long-term contracts. The company operates in three phases which are financial management services (68.6% of revenue for 2020-21); managed services include flexible banking products, uniform control systems, and software solutions (27.9%); and other functions, including issuing bank cards and custom card services (3.5%) . They work for private and public companies such as Axis Bank, HDFC Bank, and ICICI Bank.
|Software and Technology||Advanced Automation||ATM Operated Service|
|Involves development, customization, and deployment of software.||Involves all services related to end-to-end management of ATMs including product deployment, annual maintenance contracts.||Involves sales and deployment of automation products (ATMs, kiosks, passbook printers, etc)|
The promoter of the company is Sion Investment Holdings Pvt. Limited holding 100% stake in the company. Its senior management team is led by the Deputy Chief Executive Officer, Chief Executive Officer, and Permanent Director, Rajiv Kaul, former general manager, and executive director, India at Microsoft Corporation (India) Private Limited and a former partner at Actis Capital LLP, London. Gopinath is chairperson and independent director and Pankaj Khandelwal is president and chief financial officer. After the issue, the promoter shareholding will come down
|Mkt Cap (Rs. Cr.)||6,506|
|AGS TRANSACT TECHNOLOGIES LTD|
|Mkt Cap (Rs. Cr.)||Not found|
|TTM PE||Not found|
India’s market for financial management services has risen sharply in the two-digit CAGR between FY’13 2014 – FY ‘2019. The Financial Management Market has seen a decline in the growth rate between FY ‘2016 to mid of FY’2018 due to monetization in the financial sector. Government Schemes such as Pradhan Mantri Jan Dhan Yojana (PMJDY) also increase the demand for cash at ATMs as the number of active ATM cardholders grows exponentially, which will directly increase the demand for money laundering companies. The market will generate revenue with a one-digit CAGR for the period between FY ‘2019 – FY’ 2024.
THe total ATM access in India is quite low. ATMs are also used unequally between rural and urban areas.
Trading will commence from December 31, 2021, on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). The allotment of shares will be finalized by December 28, 2021, and the unsuccessful investors will be returned to their bank accounts by December 29, 2021. The letter that holds the lead managers in the case is JM Financials, DAM Capital and Axis Capital.
Read Latest Article: Flexicap mutual funds in India: 70-80% returns delivered in the last one year.
All the information are used for education purpose only. Investing in IPO poses a risk of financial losses. Investors must therefore exercise due caution. InvestoAxis is not liable or responsible for any losses caused as a result of decisions based on the article.