Mach Conferences and Events Ltd IPO: Review, Valuation, GMP

Mach Conferences and Events IPO - Complete Overview

Mach Conferences and Events IPO an SME IPO is a book built issue of Rs.125.28 crore by Mach Conferences and Events Ltd. which was founded in 2004 and provides a wide array of specialized services tailored to the MICE (Meetings, Incentives, Conferences, Exhibitions) and events sector.

Global event planning, exhibition management, and conference management are the company's areas of expertise. Additionally, the business handles every facet of event logistics at certain locations. This covers the choice of location, lodging, the organization of the transit, nearby activities, and on-site management.

Clients of the company are from the insurance, banking, and finance industries. Additionally, the organization has worked with a variety of industries, such as FMCG, infrastructure, and hospitality. The company has organized 90 events in the most recent fiscal years, 2023-2024, including ones in London, Singapore, Mussoorie, Bangalore, South Korea, Paris, Goa, Srinagar, and others. In FY 2023-2024, the average income per event for these kinds of events was Rs.263.62 lac.

More than 18 States and UTs, including Delhi, Maharashtra, Kolkata, Assam, Tamil Nadu, Jammu & Kashmir, Himachal Pradesh, Goa, Rajasthan, and others, have co-working spaces operated by the company.

This new SME IPO is to be launched on 04 September 2024, its ‘initial public offering’ will end on 06 September 2024, and Mach Conferences and Events Limited IPO allotment is on 09 September 2024.

 

Mach Conferences and Events IPO Overview

The Rs.125.28 crore Mach Conferences and Events Pvt Ltd. IPO consists of a combination of a fresh issue of 22.29 lac Shares amounting to Rs.50.15 crore and an offer for sale (OFS) of 33.39 lac Shares totaling Rs.75.13 crore.

Mach Conferences And Events Limited IPO date is from September 04-September 06, 2024. The expected IPO listing date is Wednesday, September 11, 2024, on BSE and SME. Mach Conferences And Events Limited IPO price is Rs.214 to Rs.225 for each Share.

To open a demat account and apply for the IPO, Click Here.

Company Financial

The company’s revenue grew by 68% and PAT increased by 197% for FYs between 31 March 2024 and 31 March 2023.Below is the synopsis of the company's financial data for the period that concluded 31 March 2024.

• The total assets of the company are Rs.10,133.75 lac.

• The total revenue of the company is Rs.23,898.58 lac.

• The company’s PAT is Rs.2,618.29 lac.

• The net worth of the company is Rs.4,956.72 lac.

• The company’s EBITDA is Rs.3,454.01 lac.

(Amount in lac)

 

Revenue Bifurcation

The revenue bifurcation for various activities is shown below:

(Amount in lac)

 

Verticals-wise Revenue Breakdown During The Last Three Fiscals

(Amount in lac)

 

The Objective of The Issue

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

• Meeting working capital needs.

• General corporate purposes.

 

Peers of Mach Conferences and Events Ltd. 

Evaluation

The IPO price is Rs.214 to Rs.225 for each Share.

Evaluation of P/E Ratio

Considering the FY ended 31 Mar 2024 with an EPS of Rs.13.92 from the last year, the resulting P/E ratio is 16.16x.

Considering the weighted EPS of Rs.8.29 for the last three years, the P/E ratio is 27.14x.

Comparative Analysis With Listed Peers

The average P/E Ratio of the industry is 54.48x.

In simple words, the P/E ratio of Mach Conferences and Events IPO (16.16x) compared with the industry’s average P/E of 54.48x, has undervaluation. Hence the price seems fairly priced based on the average P/E ratio of the industry.

Note: The P/E Ratio has been computed based on the closing market price of equity shares on March 28, 2024.

 

IPO's Strengths

• Comprehensive solution.

• Building enduring relationships with clients.

• Demonstrated performance.

• Reliability with hotel & event partners.

• Skilled marketers and management team.

 

IPO’s Weaknesses

• There is a chance that casualties will occur during events.

• Any hurtful remarks made by the artist during live performances or concerts could land the business in legal issues, which would be detrimental to the expansion both commercially and financially.

• As of now, it owes Rs.1233.08 lac in total. It can be detrimental to the company if it is unable to pay off its debts on time.

• The company has taken out demand-repayable unsecured loans. Any request for credit from lenders to repay these types of unsecured loans could harm its cash flows.

• No money from the Offer for Sale will be given to the company. The Promoter Selling Shareholders will receive the sum realized thereon directly.

• The company had a negative cash flow from its operating activities in the past FYs, and sustained negative cash flow could impact its growth and business.

   

  

   

   

Mach Conferences and Events IPO GMP Today

Mach Conferences and Events IPO GMP today is Rs.100 as of 30 August 2024.

 

IPO Timetable (Tentative)

The IPO date is from September 04 to September 06, 2024, with allotment on September 09, refund initiation on September 10, and listing on September 11, 2024.

 

Mach Conferences and Events IPO Details 

The IPO with a Face Value of Rs.10 per Share is set to start on September 04, 2024, close on September 06, 2024, and offer a total issue size of 5,568,000 Shares (aggregating up to Rs.125.28 Cr.).

Mach Conferences and Events IPO Lot Details 

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (600 Shares) amounting to Rs.1,35,000 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (1,200 Shares) amounting to Rs.2,70,000.

 

Mach Conferences and Events IPO Reservation

Promoters And Management of Mach Conferences and Events Ltd.

• Amit Bhatia

• Laveena Bhatia

IPO Lead Managers

• Beeline Capital Advisors Pvt Ltd.

 

Dividend Policy

The company has not paid dividends during the last three fiscal.

 

Conclusion

The company has experienced negative cash flow in operating activities in the last fiscal years. To achieve its goals, the company is currently launching 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 data 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.

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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