3 SME IPOs Open Today for Subscription

If you are waiting for the IPOs to apply for, here are the three IPOs opening today from the SME segment. In this article, we are going to explore these IPOs in detail, which may help you decide whether to go for these IPOs or not. Let’s explore each individually.

Yash Optics & Lens Limited

Yash Optics & Lens Limited, founded in 2010, offers a wide range of vision correction solutions. The company is involved in the manufacture, trading, distribution, and supply of spectacle lenses/optical lenses. Its product range includes single-vision lenses, advanced progressive lenses, customized progressive lenses, and personalized progressive lenses for professionals, along with various coatings.

Other Details: The IPO for Yash Optics & Lens Limited is scheduled to close on April 3, 2024. The face value of each share is Rs 10 each, and the price band for the IPO is set between Rs 75 to Rs 81 each. The lot size for the IPO is 1600 shares, and the total issue size is Rs 53.15 crore.

Proceeds: The company intends to utilise the proceeds of the Issue to meet the following objectives: Funding capital expenditure for setting up a manufacturing unit for backward integration; Purchasing plant and machinery at the existing manufacturing unit; Repaying/prepaying certain borrowings availed by the company; Funding working capital requirements of the company; and general corporate purposes.

Financials: Yash Optics & Lens posted revenue of Rs 39.80 crore in FY23 compared to Rs 29.86 crore in FY22, while the company’s net profit stands at Rs 8.06 crore compared to Rs 6.81 crore. The total borrowing on the balance sheet stood at Rs 10.85 crore in FY23, which rose from Rs 4.02 crore in FY22.

TAC Infosec Limited

TAC Infosec Limited, founded in 2016, offers risk-based solutions for vulnerability management and assessment, cyber security quantification, and penetration testing in a SaaS model. The company’s clients include banks and financial institutions, government regulators and departments, and large enterprises, including corporate offices such as HDFC, Bandhan Bank, BSE, National Payments Corporation of India, DSP Investment Managers Private Limited, Motilal Oswal Financial Services Limited, and NSDL e-Governance.

Other Details: The IPO for TAC Infosec Limited is scheduled to close on April 2, 2024. The face value of each share is Rs 10 each, and the price band for the IPO is set between Rs 100 to Rs 106 each. The lot size for the IPO is 1200 shares, and the total issue size is Rs 29.99 crore.

Proceeds: The company intends to utilise the proceeds of the Issue to meet the following objectives: Acquisition of TAC Security Inc (Delaware, USA) and making it a Wholly Owned Subsidiary thereon, Investment in Human resources and Product Development, and General Corporate Purposes.

Financials: TAC Infosec posted revenue of Rs 10.14 crore in FY23 compared to Rs 5.23 crore in FY22, while the company’s net profit stands at Rs 5.07 crore compared to Rs 0.60 crore. The total borrowing on the balance sheet stood at Rs 0.36 crore in FY23, which declined from Rs 0.90 crore in FY22 which is a positive sign.

Radiowalla Network Limited

Radiowalla Network Limited provides in-store radio services on a subscription model basis, which includes an exclusive radio channel for a brand. The company also offers corporate radio services, providing private radio channels for employee engagement within an organization. Additionally, the company provides advertisement services such as digital signage solutions, content management services, and point-of-purchase advertising to its clients. These services are exclusively catered to the business-to-business (B2B) sector.

Other Details: The IPO for Radiowalla Network Limited is scheduled to close on April 2, 2024. The face value of each share is Rs 10 each, and the price band for the IPO is set between Rs 72 to Rs 76 each. The lot size for the IPO is 1600 shares, and the total issue size is Rs 14.25 crore.

Proceeds: The company intends to utilise the proceeds of the Issue to meet the following objectives: To meet the expenses for investment in technology, for capital expenditure for the company, for the working capital requirements, and general corporate purposes.

Financials: Radiowalla Network posted revenue of Rs 14.03 crore in FY23 compared to Rs 10.50 crore in FY22, while the company’s net profit stands at Rs 1.02 crore compared to Rs 0.47 crore. The total borrowing on the balance sheet stood at Rs 0.78 crore in FY23, which rose from Rs 0.70 crore in FY22.

Conclusion

In conclusion, these three SME IPOs offer investors diverse opportunities within the technology, cybersecurity, and media sectors. Yash Optics & Lens, TAC Infosec, and Radiowalla Network each bring unique value propositions and growth potential to the market. With strong financial performances and clear utilization plans for IPO proceeds, these companies present compelling options for investors seeking exposure to dynamic and promising segments of the market.

Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.