Rashi Peripherals Limited IPO

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i. Incorporated in 1989 and having more than 33 years of experience in the distribution of ICT products in India, the Company commenced operations with the manufacturing of peripherals. With the liberalization of the Indian IT sector in 1991, they transitioned to the distribution of ICT products of global technology brands in India.

ii. The company primarily operate the following two business verticals:

Personal Computing, Enterprise and Cloud Solutions (“PES”): Under this vertical we distribute personal computing devices, enterprise solutions, embedded designs/ products and cloud computing

Lifestyle and IT essentials (“LIT”): This includes the distribution of products such as
(i) components that include graphic cards, central processing units (“CPUs”) and motherboards;
(ii) storage and memory devices;
(iii) lifestyle peripherals and accessories that include keyboard, mice, web cameras, monitors, wearables, casting devices, fitness trackers and gaming accessories;
(iv) power equipment such as UPS and invertors; and
(v) networking and mobility devices

iii. Their pan-India distribution network comprises 50 branches that operate for sales and as service centers and 62 warehouses. Through their branches and warehouses, they are able to cover 730 locations in India.

iv. The company distribute products primarily through the following channels:

(i) General Trade: Includes Hybrid Resellers who sell to online marketplaces and retail channels, regional distributors (“RDs”), stockist partners or sub-distributors, retailers, brand stores, system integrators (“SIs”), original equipment manufacturers (“OEMs”) and corporate resellers who sell to corporate customers, all of which are collectively referred to as “Channel Partners”. As of September 30, 2022, we had an ecosystem of 8,657 customers.

(ii) Modern Trade: Includes large format retail (“LFR”), multi-format retail (“MFR”) and small format retail (“SFR”) chains

(iii) E-Commerce: Includes certain of India’s leading online marketplaces.

Competitive Strengths

(i) Leading and fastest growing Indian distribution partner for information and communications technology products.
(ii) Pan-India and multi-channel distribution footprint backed by dedicated in-house infrastructure
(iii) Long-term relationships with marquee global technology brands supported by committed engagement strategy with customers

 

 

 

Objects of the Rashi Peripherals Limited IPO:

The Offer comprises an issue aggregating up to ₹7,500 million by the Company. The Company proposes to utilize the Net Proceeds from the Offer towards funding the following objects: 1. Prepayment or scheduled re-payment of all or a portion of certain outstanding borrowings availed by the Company; 2. Funding working capital requirements of the Company; and 3. General corporate purposes  
DRHP of Rashi Peripherals Limited IPO

Rashi Peripherals Limited IPO Details:

Promoters And Management:

i. Krishna Kumar Choudhary is a Promoter, Chairman and Whole-time Director of the Company. He obtained his bachelor’s degree of commerce from Kashi Hindu University, in 1975. He has 25 years experience in the IT distribution industry. He is also a member of Institute of Chartered Accountants of India He has been associated with the Company since 1997. ii. Sureshkumar Pansari is a Promoter, Vice-Chairman and Whole-time Director of the Company. He obtained his bachelor’s degree in commerce from the Rajasthan University in 1975. He is also an associate member of the Institute of Chartered Accountants of India. He has 33 years experience in the technology channel sector. He has been associated with the Company since 1989. iii. Kapal Suresh Pansari is a Promoter and Managing Director of the Company. He obtained his bachelor’s degree in commerce from the University of Mumbai in 2004. He has 15 years experience in the technology channel sector. He has been associated with the Company since 2007.  

Financials of Rashi Peripherals Limited IPO:

Particulares ( In Crore ) 2022 2021 2020
Revenue From Operations 9,313 5,925 3,934
Other Income 8 5 7
Revenue 9321 5930 3942
Purchase of Stock-in-trade 9,432 5,646 3,861
Changes in Inventories -626 -68 -151
Employees Benefit Expenses 114 78 75
Other Expenses 96 58 62
EBITDA 305 215 93
Depreciation 11 7 7
EBIT 293 207 86
OPM (%) 3.27% 3.63% 2.38%
Finance Cost 53 28 35
PBT 239 178 51
Tax 57 42 12
PAT 181 134 37
NPM (%) 1.95% 2.26% 0.96%
No. of Shares 4 4 4
EPS 43.47 32.09 9.07

Comparison With Peers:

Name of the Company Revenue (Cr) Profit (Cr) P/E EPS CMP Mcap (Cr)
Rashi Peripherals Limited 9,321 181 N/A 43.57 N/A N/A
Redington India Limited 62,731 1279 11.09 16.4 186 14,834

Recommendation on Rashi Peripherals Limited IPO:

To be updated once Rashi Peripherals Limited files for RHP.
 

Lead Manager of Rashi Peripherals Limited IPO:

  1. ICICI Securities Limited
  2. JM Financial Consultants Private Limited

Registrar of Rashi Peripherals Limited IPO:

  1. Link Intime India Private Limited

Company Address:

Ariisto House, 5th Floor, Corner of Telli Galli, Andheri (E), Mumbai 400 069, Maharashtra, India  

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