Mumbai-based Seshaasai Technologies Limited has received approval from SEBI (Securities and Exchange Board of India) for its upcoming Initial Public Offering (IPO). The company had earlier filed its Draft Red Herring Prospectus (DRHP) on December 27, 2024.
IPO Details and Structure
The IPO will include:
- A fresh issue of equity shares worth ₹600 crore, and
- An Offer for Sale (OFS) of up to 78.74 lakh shares by promoters Pragnyat Pravin Lalwani and Gautam Sampatraj Jain.
The company may also choose to raise up to ₹120 crore through a pre-IPO placement. If this happens, the fresh issue size will be reduced by the same amount.
The IPO is being handled by three lead managers:
- IIFL Capital Services,
- ICICI Securities, and
- SBI Capital Markets.
As of now, the IPO dates and price band have not been announced.
Use of IPO Proceeds
Seshaasai Technologies plans to use the money raised from the IPO for:
- Expanding its current manufacturing facilities
- Increasing production capacity
- Repaying or prepaying some of its loans
- Supporting general business needs
Strong Financial Growth
The company has shown impressive financial growth in recent years.
- In FY 2024, Seshaasai Technologies earned a revenue of ₹1,558.26 crore, a 35.9% increase from ₹1,146.30 crore in FY 2023.
- Gross profit also grew by 42.21%, reaching ₹570.35 crore in FY 2024, up from ₹400.91 crore the previous year.
About the Company
Seshaasai Technologies is known for providing integrated solutions in payments, communication, and fulfilment services. Its primary clients are from the Banking, Financial Services, and Insurance (BFSI) sector.
The company also offers IoT (Internet of Things) solutions to a variety of industries.
In FY 2024, Seshaasai was one of the top two payment card manufacturers in India, holding a 34.5% market share in the issuance of credit and debit cards. This is a significant jump from 23.7% in FY 2022.
