Diensten Tech LTD IPO: Review, Valuation, Opening Date & GMP

Diensten Tech Limited IPO - Complete Overview

Founded in 2007, Diensten Tech Limited (formerly known as JKT Consulting Limited) offers professional resourcing services for information technology (IT), IT consulting, IT training, and software AMC.

The services offered by the business consist of:

1. IT Support and Consulting Services: Under this framework, the company offers comprehensive IT professional resourcing, IT consulting, and software AMC services in a variety of industries, including information technology, banking, and finance, automobile and technology, telecommuting, medical care, retail, and amusement.

2. The organization provides technical and soft skills-based corporate training services. ERP and business application training, behavioral training, induction/onboarding training, domain-specific training, training and deployment, CSR implementation programs, disaster and safety management training, learning solutions, and educational tourism are some examples.

By the end of December 31, 2023, the business had 458 employees.

Dear readers, we are pleased to provide details about the approaching IPO. The company plans to launch its IPO on June 26, 2024.

Let's take a closer look at the IPO's offerings below.

 

Diensten Tech Limited IPO Overview

Diensten Tech Limited IPO is an SME book-built IPO of Rs.22.08 crore with a whole fresh issue of 22.08 lacs shares (amounting to Rs.22.08 crore) out of which 35% is allocated to retail investors, 50% to institutional investors and 15% to non-institutional investors. 

Investors can purchase shares in the IPO beginning on June 26, 2024, and it will end on June 28, 2024. The anticipated listing date for the IPO is Wednesday, July 3, 2024, and it will be held on the NSE and SME. The price band of the share is Rs.95 to Rs.100.

If You want to apply for this IPO, Click Here to Open a Demat Account.

 

 

Company Financial

Diensten Tech Limited's revenue climbed by 4813.51% while profit after tax (PAT) increased by 1007.59% during the Fiscal Years ending March 31, 2023, and March 31, 2022. 

Below is the synopsis of the company's financial data for the Financial Year that concluded on 31 March 2022.

• The company’s total revenue is under Rs.1 crore.

• The net worth of the company is gained by 225.30%.

• The company's EBITDA fell by 90.62%.

• The total assets of the company reduced by 44.89%.

• Liabilities of the company fell by 86.16%
  
  

(Amount in Lacs)

Period	31 Dec 2023	31 Mar 2023	31 Mar 2022
Total Assets	3,019.89	1,504.81	203.66
Total Revenue	2,620.92	3,760.31	76.53
PAT	-171.70	16.06	1.45
Net worth	253.34	425.05	139.99
Reserve & Surplus	-351.92	-180.21	-196.27
Total Borrowings	1,847.67	280.00	-

 

Revenue Bifurcation

Below is the revenue breakdown for various activities.

(Amount in Lacs)

Net Cash flow in multiple Activities	Apr 1, 2023 to Dec 31, 2023	Ended on Mar 2023	Ended on Mar 2022
Net Cash Flow Operating Activities	495.65	266.97	38.50
Net Cash Flow Investing Activities	1,081.89	209.59	14.22
Net Cash Flow Financing Activities	1,516.96	516.03	110.04

 

 

The Objective of the Issue

The company desires to use the Net Proceeds from the Issue to fulfill its following goals:

• Liability for unpaid consideration for the "Professional Services and Training Division" business purchased from J K Technosoft Limited under the terms of the Business Transfer Agreement dated April 30, 2022, is being paid.

• To cover the company's working capital requirements.

• To cover the general corporate purposes.

• To cover the issue expenses.

 

Peers of Diensten Tech Limited 

Company Name	Face Value (Rs.)	EPS (Rs.)	P/E
Ani Integrated Services Limited	10	2.55	59.96
Integrated Personnel Services Ltd	10	5.71	28.01

 

Evaluation

The price of each share of this IPO is set at Rs.95 to Rs.100. 

Evaluation of P/E Ratio

The P/E Ratio of Diensten Tech Limited IPO is not available.

Comparative Analysis with Listed Peers

The average P/E Ratio of the industry is NA.

 

IPO's Strengths

• The company’s customers are diverse across industries

• Its business is highly scalable, with a presence across India.

• They prioritize quality assurance and client satisfaction.

• Their seasoned management team is backed by talented specialists.

 

 

IPO’s Weaknesses

• The Company, its Promoters, its Directors, and its Group Companies/Entities are currently involved in certain civil and other tax-related proceedings, and any adverse decision in such proceedings may subject it to liabilities and penalties, as well as harm its business and results of operations.

• For the fiscal year that concluded on September 30, 2022, the top 10 clients of the business accounted for about 90% of its sales. Any loss of business from one or more of them could have a negative impact on the company's revenue and profitability.

• The importance of finding, developing, and maintaining competent and experienced staff who satisfy its clients' IT Professional Services requirements may have a severe impact on the company's reputation, commercial prospects, and future financial success.

• The company does not possess either the trademark for the phrase "DTL" or the trademarks for the logos that stand in for a specific product. If the firm does not obtain trademark registration, its business and brand/reputation may suffer because the company relies on brand names and logos that it may be unable to defend and/or retain.

• The company's finances, as well as its operations, sales, and prospects, could be negatively impacted by its incapacity to appropriately update, improve, and cater to its offers.

• Several criteria, such as the company's reputation and capacity to maintain a high standard of service quality, play a major role in its ability to draw in new business and keep the current clientele. If it fails to retain or draw clients could affect its earnings.

• The company's earnings and profitability may suffer if agreements or arrangements with customers are terminated.

 

IPO GMP Today

The Latest GMP of Diensten Tech Limited IPO’s is Rs.30.

 

Diensten Tech Limited IPO Timetable (Tentative)

The IPO is scheduled from June 26 to June 28, 2024, with allotment on July 1, refund initiation on July 2, and listing on July 3, 2024.

Events	Date
IPO Opening Date	June 26, 2024
IPO Closing Date	June 28, 2024
IPO Allotment Date	July 1, 2024
Refund initiation	July 2, 2024
IPO Listing Date	July 3, 2024

 

Diensten Tech Limited IPO Details 

The IPO with a face value of Rs.10 per share is set to start on June 26, close on 28 June, and offer a total issue size of 2,208,000 shares (amounting up to Rs.22.08 crore) a whole Fresh Issue.

IPO Opening & Closing Date	June 26, 2024, to June 28, 2024
Face Value	Rs.10 per share
Issue Size	Rs.22.08 crore
Offer for Sale	Nil
Fresh Issue	Rs.22.08 crore
Listing at	NSE, SME
Issue Type	Book Built Issue IPO
Registrar	Kfin Technologies Limited

 

 

Diensten Tech Limited IPO Lot Details 

The IPO permits regular investors to participate in a minimum and maximum of 1 lot (1200 shares) totaling Rs.120000, while for HNI investors, the minimum lot is 2 (2400 shares) amounting to Rs.240000.

Minimum Lot Investment (Retail)	1 lot
Maximum Lot Investment (Retail)	1 lot
HNI (Min)	2 lots

 

Diensten Tech Limited IPO Reservation

QIB Share Portion	50%
Retail Investors Share Portion	35%
NII Shares Portion	15%

 

Promoters and Management of Diensten Tech Limited IPO

• J. K. Traders Limited

• Mr. Abhishek Singhania

• Mr. Vipul Prakash

• Ms. Tina Prakash 

Pre-issue Promoter shareholding	95.50%
Post-issue Promoter shareholding	69.97%

 

Diensten Tech Limited IPO Lead Managers

Corporate Professionals Capital Private Ltd

 

 

Dividend Policy

No formal Dividend policy the company has. 

 

Conclusion

The company has noticed a gain in its net worth and a fall in its total assets and EBITDA in the previous Financial Year(s). To fulfill its objectives, the company is currently conducting an IPO for the general public.

We believe the information offered in this blog helps you learn about the company's financial performance. So this blog will be very useful to you if you are looking for information about the approaching IPO since it will give you reliable information about the company's insights, financials, and past performance. If this informative blog piques your interest, you may be interested in reading our other related and useful posts on our website.

 

 

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.

 

We believe this blog would be very beneficial to you if you are looking for such information related to this upcoming IPO since this blog would provide you with accurate information about the company's, insights, financials, and past performance. If this informative blog matches your interest, you might be interested in reading our other related useful blogs on our website.

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.

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