Home >> Blog >> Beacon Trusteeship Ltd IPO: Review, Valuation, Date & GMP
Beacon Trusteeship Ltd IPO: Review, Valuation, Date & GMP
![Beacon Trusteeship Limited IPO](../admin/media/Beacon Trusteeship Ltd IPO.jpeg)
Table of Contents
- Beacon Trusteeship Limited IPO - Complete Overview
- Beacon Trusteeship Limited IPO Overview
- Company Financial
- The Objective of the Issue
- Peers of Beacon Trusteeship Limited IPO
- Evaluation
- IPO's Strengths
- IPO's Weaknesses
- IPO GMP Today
- Promoters and Management of Beacon Trusteeship Limited
- Beacon Trusteeship Limited IPO Lead Managers
- Dividend Policy
- Conclusion
Beacon Trusteeship Limited IPO - Complete Overview
Founded in 2015, Beacon Trusteeship Limited provides a wide range of trusteeship services across various sectors, including Debenture Trustee Services, Security Trustee Services, Trustee to Alternate Investment Funds (AIF), Trustee to ESOP, Securitization Trustee, Bond Trusteeship Services, Escrow Services, Safe Keeping, and other allied services.
The company acts as an intermediary between issuer companies or entities and investors, offering comprehensive trusteeship services. It is certified by ISO/IEC 27001:2022.
Recently, the company expanded its presence by opening a business office at Gujarat International Finance Tec-City (GIFT), an International Financial Services Centre.
Beacon Trusteeship Limited has a presence in over 15 cities across India, including major cities like Mumbai, Delhi, Chennai, Hyderabad, Jaipur, Bangalore, Chandigarh, Indore, Kolkata, Lucknow, and Gandhinagar, through regional offices or signatories.
The company ensures due diligence and periodic monitoring, complying with SEBI (Debenture Trustee) Regulations, 1993, SEBI (Issue and Listing of Non-Convertible Securities) Regulations, SEBI LODR Regulations, and other relevant circulars and guidelines.
Beacon Trusteeship Limited provides the following services:
Debenture Trusteeship: The company enters into formal agreements with issuer companies seeking to issue debentures of any type, including Non-Convertible Debentures.
Security Trustee for Loans: The company assists with appointing an investment manager, holding trust funds for beneficiaries, applying for a registration certificate with SEBI, maintaining books of accounts, and ensuring confidentiality.
Alternative Investment Funds: The company ensures timely declarations and disbursements to investors, makes investments in accordance with agreements, segregates assets, and ensures all transactions are properly accounted for.
Securitization and Escrow: The company handles drafting and vetting Escrow Agreements, setting up the Escrow mechanism, providing adept documentation, ensuring smooth fund flow to and from the Escrow Account, meticulously adhering to covenants and terms of the Escrow Agreement, monitoring fund movements, and maintaining the Debt Service Reserve Amount.
Beacon Trusteeship Limited IPO Overview
Beacon Trusteeship Limited IPO date is slated to be open for subscription from May 28, 2024, to May 30, 2024. This is an NSE SME IPO and it follows a Book Built Issue IPO.
Beacon Trusteeship Limited IPO price is fixed in the range of Rs.57 to Rs.60 per share.
The total issue size of this IPO amounts to Rs.32.52 Cr. The company has allocated 35% shares to retail investors, 50% to institutional and 15% to non-institutional investors.
Company Financial
Compared to the financial year ending March 31, 2023, and March 31, 2022, Beacon Trusteeship Limited has seen growth in total assets, net worth, and total revenue. The profit after tax has also increased.
Amount in Lakhs
Period |
31 Mar 2024 |
31 Mar 2023 |
31 Mar 2022 |
Total Assets |
2,696.56 |
2,254.30 |
1,685.14 |
Total Revenue |
2,091.20 |
1,572.36 |
1,049.02 |
PAT |
516.36 |
384.64 |
361.58 |
Net worth |
1,916.29 |
1,399.53 |
1,016.53 |
Reserve & Surplus |
498.24 |
1,099.19 |
714.55 |
Revenue-wise Break up
(Amount in Lakhs)
Particulars |
30-Mar-24 |
31-Mar-23 |
31-Mar-22 |
Alternate Investment Fund |
194.10 |
167.9 |
137.74 |
Bond Trustee |
19.02 |
16.88 |
14.45 |
Debenture Trustee |
917.24 |
830.62 |
601.65 |
Escrow Agent |
91.21 |
46.51 |
37.37 |
Other services |
14.47 |
37.17 |
10.00 |
Security Trustee |
501.42 |
205.47 |
91.21 |
Securitization |
254.11 |
176.01 |
110.48 |
Total |
1,991.56 |
1,480.56 |
1,002.90 |
Geography-wise Revenue Break up
(Amount in Lakhs)
Particulars |
30-Mar-24 |
31-Mar-23 |
31-Mar-22 |
Himachal Pradesh |
3.62 |
4.73 |
2.24 |
Punjab |
5.94 |
4.69 |
3.24 |
Chandigarh |
- |
- |
0.06 |
Uttarakhand |
5.19 |
- |
- |
Haryana |
52.83 |
37.77 |
32.39 |
Delhi |
109.01 |
99.21 |
116.07 |
Rajasthan |
16.91 |
18.32 |
16.12 |
Uttar Pradesh |
36.82 |
30.80 |
27.45 |
Bihar |
8.07 |
3.28 |
1.18 |
West Bengal |
3.56 |
0.40 |
23.20 |
Odisha |
8.73 |
2.35 |
0.87 |
Chattisgarh |
2.71 |
1.10 |
1.49 |
Madhya Pradesh |
2.70 |
5.04 |
4.19 |
Gujarat |
53.14 |
53.53 |
65.20 |
Daman & Diu |
- |
- |
1.25 |
Dadra Nagar Haveli |
- |
- |
2.80 |
Maharashtra |
1,341.54 |
996.66 |
583.00 |
Karnataka |
139.61 |
69.09 |
47.03 |
Kerala |
4.01 |
8.09 |
- |
Tamil Nadu |
122.40 |
100.27 |
41.25 |
Telangana |
21.11 |
11.99 |
22.81 |
Andhra Pradesh |
29.17 |
26.11 |
8.61 |
Ladakh |
- |
0.50 |
- |
Singapore |
2.25 |
3.60 |
0.33 |
Gift City |
16.08 |
3.02 |
2.13 |
Total |
1,991.56 |
1,480.56 |
1,002.90 |
The Objective of the Issue
The Net Proceeds from the Fresh Issue will be utilized towards the following objects:
1. Building Up Technology Infrastructure for the existing business.
2. Investment in Wholly owned subsidiary i.e. Beacon Investor Holdings Private Limited, to commence the services of Depository Participant and Registrar & Share Transfer Agent.
3. Purchase of New Office Premises.
4. General Corporate Purpose.
Peers of Beacon Trusteeship Limited IPO
According to the DRHP of Beacon Trusteeship Limited, there is no directly listed company involved in the same business as of the company.
Evaluation
The IPO is priced within the range of Rs.57 to Rs.60 per share.
Evaluation of P/E Ratio
-
Considering the FY24 EPS of Rs 3.64 from the last year, the resulting P/E ratio is 16.48x.
-
Taking into account the weighted EPS of Rs 3.18 for the last three years, the P/E ratio amounts to 18.86x.
Comparative Analysis with Listed Peers
There is no listed peers of the company.
IPO's Strengths
-
Legacy advantages and networking capabilities
-
Technological proficiency
-
Pan-India presence and global reach
-
Credibility and trust
IPO's Weaknesses
-
The company is subject to regulations governed by SEBI and other government agencies. Changes in regulations could impact its business model and increase costs.
-
The trustee industry in India is becoming increasingly competitive.
-
The company's business is subject to extensive SEBI (Debenture Trustees) Regulations 1993, including periodic inspections by SEBI.
-
The company relies heavily on debenture trustee fees for a substantial share of its revenue and profitability.
-
The company may face litigation from debenture holders if it fails to adequately fulfill its obligations and duties.
IPO GMP Today
The Latest GMP of Beacon Trusteeship Limited is Rs.72.
Beacon Trusteeship Limited IPO timetable (Tentative)
Beacon Trusteeship Limited IPO is scheduled from May 28 to May 30, 2024, with allotment on May 31, refund initiation on June 3, and listing on June 4, 2024.
Events |
Date |
IPO Opening Date |
May 28, 2024 |
IPO Closing Date |
May 30, 2024 |
IPO Allotment Date |
May 31, 2024 |
Refund initiation |
June 3, 2024 |
IPO Listing Date |
June 4, 2024 |
Beacon Trusteeship Limited IPO Details
Beacon Trusteeship Limited IPO, with a face value of Rs.10 per share, opens on May 28 and closes on May 30, 2024, offering 5,420,000 shares at Rs.57 to Rs. 60 per share, with a lot size of 2000 shares, aiming to raise Rs.32.52 Cr, and will be listed on NSE SME.
IPO Opening & Closing Date |
May 28, 2024 to May 30, 2024 |
Face Value |
Rs.10 per share |
Issue Price |
Rs.57 to Rs. 60 per share |
Lot Size |
2000 Shares |
Price of 1 lot |
Rs. 120,000 |
Issue Size |
5,420,000 shares (aggregating up to Rs.32.52 Cr) |
Offer for sale |
1,548,000 shares of Rs.10 (aggregating up to Rs.9.29 Cr) |
Fresh issue |
3,872,000 shares (aggregating up to Rs.23.23 Cr) |
Listing at |
NSE SME |
Issue Type |
Book Built Issue IPO |
Registrar |
Kfin Technologies Limited |
Beacon Trusteeship Limited IPO Lot Details
For Beacon Trusteeship Limited IPO, the retail investor minimum and maximum lot investments are both 1 lot (2000 shares) at Rs.120,000 while for HNI investors, the minimum investment is 2 lots (4000 shares) at Rs.240,000.
Minimum Lot Investment (Retail) |
1 Lot |
Maximum Lot Investment (Retail) |
1 Lot |
Minimum Lot Investment (HNI) |
2 Lot |
Beacon Trusteeship Limited IPO Reservation
Institutional Share Portion |
50% |
Non-institutional Share Portion |
15% |
Retail Share Portion |
35% |
Promoters and Management of Beacon Trusteeship Limited
-
Prasana Analytics Private Limited
-
Mr. Pratapsingh Indrajitsingh Nathani
Pre-issue Promoter shareholding |
67.88% |
Post-issue Promoter shareholding |
46.14% |
Beacon Trusteeship Limited IPO Lead Managers
-
Beeline Capital Advisors Pvt Ltd
Dividend Policy
The Company has not paid / declared dividend in last three financial years.
Conclusion
The company specializes in debenture services and consistently demonstrates strong financial performance. It offers its services both within India and globally. Experienced investors may consider applying for the upcoming IPO for medium to long-term gains.
Finowings IPO Analysis
Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO.
You must consult your financial advisor before making any financial decisions.
To Apply for the IPO, Click Here.
To Read the Prospectus of the Company Click Here to Download the DRHP.
Disclaimer: This IPO analysis is only for informational purposes and should not be considered as investment advice. Always do your research and consult with a financial advisor.
Want to start Your Journey in stock market trading and investment? Join our Stock Market Class to become beginner to expert trader! We cover everything from the basics of trading to advanced strategies for picking stocks. Plus, we're offering a special discount for women and students. Don't miss out - enroll now and kickstart your path to success in the stock market!
Open a world of Stock Market by Opening a Demat Account with your favourite Broking firm & Get a trading Strategy worth Rs.15,000!
Thank You for reading this blog.
Hope you loved the IPO analysis.
Please Comment Below with your feedback because Your feedback motivates us to deliver more such content.
Follow MUKUL AGRAWAL for the latest IPO news and reviews. You can connect with us on social media platforms like Twitter, Facebook, and Instagram. You can also subscribe to our YouTube Channel for the latest videos of the stock market.
Frequently Asked Questions
The IPO is scheduled to open for subscription on May 28, 2024.
The issue price for Beacon Trusteeship Limited IPO is set in the range of Rs.57 to Rs.60 per share.
The total issue size of the IPO is Rs.32.52 Cr, with 35% reserved for retail investors.
The IPO is set to close on May 30, 2024.
The net proceeds from the IPO will be allocated towards building up technology infrastructure for the existing business, acquiring Beacon RTA Services Private Limited and making it a wholly owned subsidiary to commence the services of Depository Participant and Registrar & Share Transfer Agent, purchasing new office premises, and general corporate purposes.