Humming Bird Education Limited IPO

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The Company was originally incorporated on August 23, 2010 as a private limited Company under the name and style of “Humming Bird Education Private Limited” under the provisions of Companies Act.

Humming Bird Education Ltd
. is dedicated to inculcating academic perfection among the students with the right attitude by enhancing their factual, conceptual, reasoning, logical, analytical & problem-solving skills through the perfect blend of 6 ingredients IQ, AQ, EQ, CQ, SQ & HQ.

With this, the mission’s objective is to motivate the students with the Scholarships, Prizes, Medals etc to help the major population of the nation in redefining their future and building a strong country.

Olympiad means bringing the students from all over on a SINGLE COMMON PLATFORM and assessing them on a common question paper designed with a scientific approach as per their class syllabus. This helps them to:

1. Know their National & International level ranks.
2. Identify their strong/ weak areas in the subject
3. Know the correct pattern of the competitive examinations to be held in future
4. Clear the basic concepts
5. Get an exposure of the National level examination
6. Win awards and get recognized
7. Get well educated and not just well trained

Humming Bird has been awarded again & again year on year with the prestigious awards and recognition for their contribution to the Education Sector. The Organization has proved that World class educational services can be availed in the most economical manner.

Humming Bird Education Limited IPO Stock Quote & Charts

132.00

0.00%

  • Open: 132.00
  • High - Low: 132.00 - 132.00
  • Previous Close: 132.00
  • Total Traded Volume: 1000
  • Updated On: 07-May-2019

Objects of the Humming Bird Education Limited IPO:

The Company is issuing 1,63,000 Shares at Rs.132 per share thereby Garnering 2.1516 Cr from the IPO for the following purpose. 1. To part Finance the Working Capital Requirement = 1.46 Cr. 2. General Corporate Expense =0.3416 Cr 3. Issue Expense =  0.35 Cr

Humming Bird Education Limited IPO Details:

Open Date: Mar 15 2019
Close Date: Mar 19 2019
Total Shares: 163,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Fixed Price Issue IPO
Issue Size: 21.51 Cr.
Lot Size: 1000 Shares
Issue Price: ₹ 132 Per Equity Share
Listing At: BSE SME
Listing Date: Mar 28 2019

Promoters And Management:

The Company is established by Mr. Nitesh Jain, Founder and Promoter have served thousands of schools encompassing lakhs of students with the Olympiad examinations. The promoter Mr. Nitesh Jain has been awarded Asia’s Greatest Leaders of the Year 2017-18.

Company Business:

As the company orders are received in advance, it allowed the company to streamline their cash flows and have been able to function with minimal working capital. They follow a philosophy of being asset light. As they are asset light and centrally managed, they have a vast franchise network which has allowed them to spread their reach to intercontinental boundaries with a fast-growing international base. Acting as an extension in branding and customer acquisition the franchisees enjoy a respectable business model with comfortable working hours and territorial rights, strengthening their association with all with them. All the franchises have met their breakeven and are already profitable while increasing Hummingbird brand and footprint in their territories. With franchisees in India and abroad, they are now focusing on increasing franchise penetration up to district levels

Financials of Humming Bird Education Limited IPO:

Year Revenue(lakh) PAT(lakh) EBITDA Margins Profit Margins EPS
FY16 51.56 0.78 8.4% 1.51% 0.78
FY17 93.70 4.46 10.6% 4.76% 4.46
FY18 117.09 10.57 14.5% 9.03% 10.57
6MFY19 108.65 36.78 46% 33.85% 8.17
Post Issue(Annualized) 12
IZ Review 1. The Company has shown excellent 51.46% of CAGR growth in Revenue from FY16 to FY18. 2. The EBITDA Margins has almost doubled in the period FY16 to FY18. 3. The Company is Debt- Free. 4. The Company Post Issue will have an Equity of just 61.3 Lakh and Mcap of 8.09 Cr. 5. The First 6 Month Figure looks a little bit hard to believe. The company in that period has shown excellent numbers in terms of Revenue Growth, EBITDA Margins, and PAT growth. 6. Pre-Issue- ( The 3-year average (FY16 to FY18) EPS is 3.94 and EPS based on Annualized first 6MFY19 financials is 16.34. ) 7. Post-Issue- ( EPS based on Annualized first 6MFY19 financials is 12). 8. Valuation based on P/E on super-duper earning of 6MFY19 stands at 11. Valuation based on Mcap/Sales is 4.04. So valuation appears to be quite stretched.

Recommendation on Humming Bird Education Limited IPO:

Review and Recommendation of Humming Bird Education Limited IPO from IZ team is: 4/10. [ The Company has a very good business model and has shown excellent growth.  The Company is also debt free and total Mcap is just 8.09 Cr. However, the valuation looks stretched in terms of P/E and Mcap/Sales.  ]

Lead Manager of Humming Bird Education Limited IPO:

  1. Share India Capital Services Private Limited

Registrar of Humming Bird Education Limited IPO:

  1. Bigshare Services Private Limited

Bid Details of Humming Bird Education Limited IPO as on
19 Mar 2019 | 11:58:03 PM

Category No.of shares offered No. of shares bid
77,000 149,000
77,000 70,000
9,000 9,000
163,000 228,000
QIBs Yes
QIBs+HNIs Subscription 1.94X
Retail Subscription 0.91X
Total Subscription 1.42X

Discussion on Humming Bird Education Limited IPO: