Very good listing of Innovative Ideals. Listed at 43
Innovative Ideals and Services (India) Limited IPO
(i) The Innovative Ideals and Services Limited started its business as a proprietorship firm trading security equipment imported from Korea.
(ii) Then on 06 Dec 2000, the firm converted into a company and gradually evolved from trading to security solution provider.
(iii) They provide various services such as Video Door Phone, Audio Door Phone, Access Control, Home intrusion systems, Intrusion Alarm Systems, CCTV, Fire Alarms and Telecom products. They target residential construction Industry in the B2B segment. To further strengthening B2B business company has also started giving FTTH Broadband Service in residential construction projects.
(iv) To Enter into the B2C segment, the company has developed two innovative products ” Armher” and ” Saviour” addressing the need of safety of the children, women and senior citizen. The Company has also launched basic feature mobile phone under a brand name “Inoyo.
(v) Recently they have done a tie-up with Tata Sky to provide Broadband services, installation, maintenance, operations, security and provision of security infrastructure to the residents of ” Amarona Park” Pune for the five year period starting from March 2018 to March 2023. They have also entered an agreement to provide DTH service as an authorized distributor of Tata Sky to the residents of the area.
(vi) Innovative operates from and is located in the city of Mumbai, Maharashtra, and has an employee headcount of more than 60, which includes the management, the sales, and marketing team, the technical services team, as well as the administration staff.
(vii) Innovative Corporate Video
Objects of the Innovative Ideals and Services (India) Limited IPO:
Innovative Ideals and Services (India) Limited IPO Details:
|Open Date:||Sep 24 2018|
|Close Date:||Sep 26 2018|
|Face Value:||₹ 10 Per Equity Share|
|Issue Type:||Book Built Issue IPO|
|Issue Size:||12.26 Cr.|
|Lot Size:||3000 Shares|
|Issue Price:||₹ 36-40 Per Equity Share|
|Listing At:||BSE SME|
|Listing Date:||Oct 05 2018|
Promoters And Management:
|(i) Authorized Share Capital 1,35,00,000 Equity shares at FV@10)||13.50 Cr|
|(ii) Issued, Subscribed,& Paid-up Share Capital Before Issue (83,14,169 Equity Shares at FV@10)||8.315 Cr|
|(iii) Present Issue ( 30,66,000 Equity Shares at FV@10)||3.06 Cr|
|(iv) Reservation for Market Maker [*] Shares at FV@10)||[*]|
|(v) Reservation for QIB & HNI [*] Equity Shares at FV@10)||50%|
|(vi) Reservation for Retail [*] Equity Shares at FV@10)||50%|
|(vii) Paid Up Share Capital after the issue||11.375 Cr|
Financials of Innovative Ideals and Services (India) Limited IPO:
|1. Assets and Liabilities Key Parameters|
|Year||Asset(lacs)||Liabilities(lacs)||Net Worth(lacs)||Book Value||Debt||D/E||RONW||Receiveable days|
|2. Profit n Loss Key Parameters|
|Year||Revenue(lacs)||PAT(lacs)||EBITDA Margins||Profit Margins||Outstanding Shares(lacs)||EPS|
|3. Cash Flow Statement(all figures in lacs)|
|(i) Net Cash Generated from Operation||-277.14||31.1||-50.88||-1511.72||1652.56|
|(ii) Net Cash Generated from Investment||-297.4||37.29||33.98||1611.23||-1590.92|
|(iii) Net Cash Generated from Financing Activity||616.91||-77.84||-17.21||-127.4||-79.86|
|(iv) Total[ (i)+(ii)+(iii) ]||42.37||-9.45||-34.11||-27.89||-18.22|
|(v) Cash and Cash Equivalents at the Beginning of the Year||6.33||15.77||49.88||77.77||96|
|(vi) Cash and Cash Equivalents at the end of the Year||48.70||6.32||15.77||49.88||77.78|
Comparison With Peers:
Recommendation on Innovative Ideals and Services (India) Limited IPO:
Lead Manager of Innovative Ideals and Services (India) Limited IPO:
Registrar of Innovative Ideals and Services (India) Limited IPO:
Bid Details of Innovative Ideals and Services (India) Limited IPO as on
26 Sep 2018 | 06:00:00 PM
|Category||No.of shares offered||No. of shares bid|
Discussion on Innovative Ideals and Services (India) Limited IPO:
LM is Pantomath. So downside risk is less. Can be a good candidate of listing gain based on subscription figure.
(i) The company claimed itself a product based company, However, to date, they have not able to sell their manufactured products such as Armer, Innoeye, Saviour. They have also launched a basic phone ” Inoya” and we all know the kind of competition we are facing in the mobile industry. Therefore, generating revenue from the selling of mobile phone looks quite thin. Overall we can say till date they are more of a service based company rather than product based.
(ii) In the service segment, they install and do maintenance of Video Door Phone, Audio Door Phone, Access Control, Home intrusion systems, Intrusion Alarm Systems, CCTV, Fire Alarms and Telecom products. The company imports these products from Korea, Taiwan and China etc.
(iii) In short, we can say that moat in the business is very low. The entry barrier in the business is very low. The competition is very tough in the domestic market.
They rely significantly on third parties to manufacture their products and then sell these products under their brand name. Any decline in the quality of products will adversely affect the company.
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