Innovatiview India files DRHP with SEBI for IPO

Innovatiview India, based in Noida, has submitted preliminary documents to SEBI, the capital markets regulator, to secure ₹2,000 crores through an initial public offering (IPO). According to the Draft Red Herring Prospectus (DRHP) that was submitted on Thursday, the proposed IPO consists entirely of an Offer-For-Sale (OFS) of equity shares.

Offer for Sale (OFS) Breakdown

The OFS includes the sale of shares up to ₹800 crore each by Ashish Mittal and Ankit Agarwal and up to ₹320 crore worth of shares by Vishal Mittal, while Abhishek Agarwal will be offloading shares worth ₹80 crore. Because the IPO is entirely an OFS, the company will not receive any proceeds from the issue; instead, the proceeds will go to the selling shareholders.

Company Profile

Innovatiview India is a technology-driven company that offers comprehensive security solutions. These solutions include automated ancillary security and surveillance for examinations, elections and large-scale events throughout India. As of September 30, 2024, Innovatiview India is reportedly the largest provider of examination-integrated security solutions in India, holding a 73.7% market share in FY24 based on revenue, according to the F&S report.

Services Offered

Innovatiview India provides a range of services, including examination integrated security solutions, surveillance, biometric control, physical security systems like frisking, voice over internet protocol (VoIP) communication systems, GPS tracking, and dedicated examination infrastructure. The company is also among the first in India to incorporate artificial intelligence in CCTV surveillance and provide accurate touchless biometric verification for impersonation control in examinations. The National Testing Agency, one of the largest entrance examination conducting organizations in the country, is among the company's clientele.

Financial Performance

Innovatiview India demonstrated strong financial growth in FY24, with revenue surging 67.5% to ₹638 crores from ₹381 crores in the previous year. The company's Profit After Tax (PAT) saw a 71.8% increase, reaching ₹196.72 crore from ₹114.56 crore. For the six months ended September 30, 2024, revenue stood at ₹485 crore, while PAT rose to ₹131 crore.

Book Running Lead Managers and Registrar

The book running lead managers for the issue are DAM Capital Advisors, ICICI Securities, JM Financial, Motilal Oswal Investment Advisors, and Shannon Advisors Pvt Ltd. MUFG Intime India is the registrar for the issue. The equity shares of Innovatiview India are proposed to be listed on the BSE and NSE.