Enser Communications Limited IPO: Review, Valuation, Date & GMP

Enser Communications Limited IPO  - Complete Overview

Established in 2008, Enser Communications Limited provides Business Process Management (BPM) services to companies in the insurance, e-commerce, education, and travel sectors. The  company offers the following four services in its BPM business:

a) Customer Acquisition Services

b) Customer Services

c) IT Infrastructure Management Services

d) Data Management Services

Enser's comprehensive service offerings encompass Business Analytics, Customer Relationship Management (CRM), Interactive Voice Response Systems (IVRS), Customer Interaction Management solutions, Development & Integration with CRM Systems, Data Analytics, customer profiling, Tech-enabled infrastructure development, technology-enabled solutions such as payment reminder/collection/subscription collection, process re-engineering, transaction monitoring systems, ERP implementation and maintenance, application development for customer relationship management, web chat services, application/transaction processing, debt collection, sales & lead generation, customer support, business process outsourcing (BPO), business process management (BPM), knowledge process consulting, contact centre, and customer acquisition services.

The company is a NASSCOM certified member and holds certifications such as ISO/IEC 27001:2013, ISO 9001:2015. In 2022, it was awarded as the incredible BPO brand of the year at the IBI awards platform. Additionally, it has been empanelled with the National Health Authority, a Government of India entity, in February 2022, and the State Health Authority, Gujarat, in December 2023.

The clients portfolio of the company includes innovative insurance companies like Acko General Insurance, Reliance Nippon, and Ola Financial Services, and new-age companies such as India Lends, Doubtnut, Cordellia Cruises, and Mahindra Holidays, among others.

As of September 30, 2023, the revenue of the company is 1,799.26 lakhs.

 

Enser Communications Limited IPO Overview

Enser Communications Limited IPO date is slated to be open for subscription from March 15, 2024, to March 19, 2024. This NSE SME IPO follows a Fixed Price Issue IPO.

Enser Communications Limited IPO price is fixed at Rs.70 per share. 

The total issue size of this IPO amounts to Rs.16.17 Cr. out of the total issue the company has reserved 50% to retail investors and 50% to other investors.

Company Financial

Compared to the past financial year, Enser Communications Limited has seen growth in total assets, net worth, and total revenue. The profit after tax has increased while the total borrowing has also increased.

(Amount in Lakhs)

Period	30 Sep 2023	31 Mar 2023	31 Mar 2022
Total Assets	1,799.26	1,383.92	870.42
Total Revenue	1,815.89	2,590.97	1,686.47
PAT	213.98	160.06	77.92
Net worth	653.24	394.78	234.71
Reserve & Surplus	652.17	393.78	233.71
Total Borrowings	709.09	631.88	309.37

 

The Objective of the Issue

The net proceeds of the issue will used to fulfil the following objectives:

1. Setting up of new service unit 

2. To meet the Working Capital requirements of the Company

3. To meet the General Corporate Purposes

4. To meet the Issue Expenses. 

 

 

Peers of Enser Communications Limited IPO

Name of the Company	Face Value (Rs)	EPS (Rs)	P/E Ratio
Enser Communications Limited	10.00	2.66	26.32
One Point One Solutions Ltd.	2.00	0.47	108.08
Hinduja global solutions Ltd.	10.00	62.84	16.09
eClerx Services Ltd.	10.00	76.45	33.81

 

Evaluation

The IPO is priced fixed at Rs.70 per share.

Evaluation of P/E Ratio

• Considering the FY23 EPS of Rs 2.5 from the last year, the resulting P/E ratio is 28.2x.

• Taking into account the weighted EPS of Rs 1.73 for the last three years, the P/E ratio amounts to 40.46x.

 

Comparative Analysis with Listed Peers

• The industry's average P/E is 42.00x.

As a result, the IPO price range, with a P/E ratio ranging from 28.2x to 40.46x, seems fully priced to the industry average of 42.00x.

 

IPO's Strengths 

• Seasoned Management Leadership

• Collaboration with Leading Corporations and Pioneering Clients

• Tailored IT Infrastructure and Cutting-edge Management Information Systems

• Varied Service Portfolio and Expert Workforce

• Advanced Technology Integration and Innovation

• Scalability, Adaptability, and Efficiency

• Competitive Pricing for Value Maximization

 

 

IPO weaknesses 

• The company requires numerous approvals, NOCs, licenses, registrations, and permits as part of its regular business operations.

• The current promoters of the Company are first-generation entrepreneurs.

• The Company experiences negative cash flows from both its operating activities and investing and financing activities.

• The company has a track record of net losses and anticipates increased expenses in the future.

• The top 5 customers contribute a significant portion of the total revenue.

• The company operates in a competitive industry, and any failure to compete effectively may have adverse consequences.

 

IPO GMP Today 

The Latest GMP of Enser Communications Limited is not yet available.

Enser Communications Limited IPO timetable (Tentative)

Enser Communications Limited IPO is scheduled from March 15 to March 19, 2024, with allotment on March 20, refund initiation on March 21, and listing on March 22, 2024.

Events	Date
IPO Opening Date	March 15, 2024
IPO Closing Date	March 19, 2024
IPO Allotment Date	March 20, 2024
Refund initiation	March 21, 2024
IPO Listing Date	March 22, 2024

 

Enser Communications Limited IPO Details 

Enser Communications Limited IPO, with a face value of Rs.10 per share, opens on March 15 and closes on March 19, 2024, offering 2,310,000 shares at Rs.70 per share, with a lot size of 2000 shares, aiming to raise Rs.16.17 Cr, and will be listed on NSE SME.

IPO opening & closing date	March 15, 2024 to March 19, 2024
Face value	₹10 per share
Issue Price	₹70 per share
Lot Size	2000 Shares
Price of 1 lot	₹140,000
Issue Size	2,310,000 shares (aggregating up to ₹16.17 Cr)
Fresh issue	2,310,000 shares (aggregating up to ₹16.17 Cr)
Listing at	NSE SME
Issue Type	Fixed Price Issue IPO
Registrar	Skyline Financial Services Private Ltd

 

 

Enser Communications Limited IPO Lot Details 

For Enser Communications Limited IPO, the retail investor minimum and maximum lot investments are both 1 lot (2000 shares) at Rs.140,000 while for HNI investors, the minimum investment is 2 lots (4000 shares) at Rs.280,000.

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

 

Enser Communications Limited IPO Reservation 

Institutional share Portion	50%
Non-institutional share Portion	15%
Retail share Portion	35%

 

Promoters and Management of Enser Communications Limited

• Mr. Harihara Subramanian Iyer

• Mr. Rajnish Omprakash Sarna

• Mrs. Gayatri Rajnish Sarna

• Mrs. Sindhu Saseedharan Nair

Pre-issue Promoter shareholding	90.13%
Post-issue Promoter shareholding	66.25

 

Enser Communications Limited IPO Lead Managers

• Fast Track Finsec Pvt Ltd

 

Dividend Policy

The company did not pay any dividends in the past fiscal years, and future dividend payments depend on the financial performance of the company.

 

 

Conclusion

Enser Communications Limited is presenting a great opportunity for investors to invest in its upcoming IPO. The financial performance of the company is consistently rising. Investors are encouraged to invest after analyzing all the factors to gain optimal results.

 

 

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.

 

 

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