Rikhav Securities IPO: GMP, Date, Price & Details

Rikhav Securities IPO-Complete Overview

Rikhav Securities IPO under the SME IPO category is a book-built issue of Rs.88.82 Cr (1,03,28,000 Shares) by Rikhav Securities Limited established in 1995. Such a solid basis, and Rikhav Securities Limited has come a very long way to become the leading provider of financial services investment, and banking solutions in India.

The financial services provider is also registered with SEBI as a stockbroker and is a member of BSE Limited (BSE), National Stock Exchange of India (NSE), and Multi Commodity Exchange (MCX). 

The offering of services includes equity broking, cash delivery, intra-day trading, futures, and options. 

The trading of the organization goes further into derivatives and commodities segments. As a Self-Clearing Member of the Indian Clearing Corporation and NSE Clearing, the company ensures smooth trade settlements. The company provides depository services for demat accounts and helps clients participate in IPOs.

Acting as a mutual fund advisor, the organization guides clients through their investment options. 

It also undertakes market-making activities. 

 Rikhav Securities IPO Overview

This Rikhav Securities IPO date is 15 January, and its ‘initial public offering’ will end on 17 January 2025.    

This Rs.88.82 crore new SME IPO comprises a combination of a fresh issue of 83.28 lac Shares (Rs.71.62 Cr) and an offer for sale (OFS) of 20 lac Shares (Rs.17.20 Cr).

This upcoming IPO date is on 15 Jan 2025. The Rikhav Securities IPO Price is Rs.82 to Rs.86 for each Share. 

The expected IPO listing date is 22 Jan 2025, and the listing at BSE and SME.

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

Company Financial

(Amount in Lac)

 

Cash Flows

The cash flows for various activities are shown below:

(Amount in lac)

 

Business Verticals-wise Revenue Breakdown  

(Amount in lac)

The Objective of the Issue

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

• Financing the increased need for working cash. 

• Financing the company's capital expenditure needs for the acquisition of computers, laptops, and IT software.

• General Corporate purposes.

 

Peers of Rikhav Securities Ltd.

 

Note:-

The basic EPS of the peers is for the financial year ended on 31 Mar 2024.

Evaluation

The Rikhav IPO share price is Rs.82 to Rs.86 for each Share.

Evaluation of P/E Ratio

Considering the FY ended 31 Sep 2024 with an EPS of Rs.14.23 from the last year, the resulting P/E ratio is 6.04x.

Considering the weighted EPS of Rs.10.22 for the last three years, the P/E ratio is 8.41x.

IPO's Strengths

• Long-term relationship with the clients.

• An integrated financial services platform.

• Experienced management team with proven execution capabilities.

IPO’s Weaknesses

• Key operational risks pertain to high operational risks in the financial services industry. System errors, delays in transferring securities, failures in compliance, and technology disruptions are few examples. These can adversely affect the reputation, business continuity, and financial condition of companies.

• Volatility in Capital Markets: Revenue inconsistency raises over the unpredictable nature of capital markets. Market fluctuations directly impact the trading and investment business's profitability.

• Dependence on Technology and Security Threats: Dependence on IT systems for critical business operations, however, exposes it to outages, malware attacks, or technology infrastructure failures.

• Regulatory and Legal Risks: There can be penalties or disruption in business operations on account of SEBI regulations not being complied with or there being a delay in getting the necessary approvals. 

Rikhav Securities IPO GMP Today

Rikhav Securities IPO GMP has not started yet as of 11 January 2025.

IPO Timetable (Tentative)

The IPO opening date is January 15, with allotment on January 20, refund initiation on January 21, and listing on January 22, 2025.

Rikhav Securities IPO Details 

The IPO with a Face Value of Rs.10 per share offers a total issue size of 1,03,28,000 Shares (Rs.88.82 Cr).

Rikhav Securities Limited IPO Lot Details 

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (1600 Shares) amounting to Rs.1,37,600 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (3200 Shares) amounting to Rs.2,75,200.

 

IPO Reservation (% of Net Issue)

Promoters And Management of Rikhav Securities Ltd.

• Mr. Hitesh Himatlal Lakhani

• Mr. Rajendra N Shah

• Ms. Bharti Hitesh Lakhani

• Ms. Vaishali R Shah

• Mr. Deep Hitesh Lakhani

• Mr. Monil Rajendra Shah

• M/s. Hitesh Himatlal Lakhani HUF.
  
  

IPO Lead Managers

Smart Horizon Capital Advisors Private Limited.

Dividend Policy

The company has not paid any dividends in the last three FYs.

Conclusion

The Rikhav Securities IPO holds a potentially strong investment opportunity as it presents a good base in financial strength and a wide variety of services. Consistency in growth, an experienced management team, and client relationship orientation only increase the appeal of the company. However, investors should keep in mind certain risks, such as market volatility and regulatory compliance.

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 is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions. 

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