The BLS E-Services IPO opened for subscription on Tuesday, January 30th. Investors' interest in the IPO of BLS E-Services was still quite high on the second day of subscription.
BLS E-Services IPO was subscribed 32.56 times. As of January 31, 2024 at 2:30 p.m., the public issue was subscribed 102.52 times in the retail category, 2.24 times in the QIB category and 66.48 times in the NII category.
Details about the IPO of BLS E-Services
The IPO of BLS E-Services consists solely of fresh issue of shares worth ₹2,30,30,000 crore by the subsidiary of the listed company BLS International Services. There is no offering component to the IPO of BLS E-Services.
In consultation with the Book Running Lead Manager (BRLM), BLS E-Services IPO conducted a pre-IPO placement through a private placement of 11,00,000 shares for cash at a price of ₹125 per share, total ₹1,375 Lakhs. The scope of newly issued shares was reduced to 2,30,30,000 shares.
The Company intends to use the net proceeds to fund the establishment of BLS Stores as a means of driving organic growth, acquiring companies to achieve inorganic growth, general corporate purposes and to strengthen the technology infrastructure to develop new capabilities and consolidate current platforms.
The registrar of BLS E-Services IPO is Kfin Technologies Limited while the book running lead manager is Unistone Capital Pvt Ltd. is.
The IPO of BLS E-Services exclusively comprises fresh issue of shares worth ₹2,30,30,000 crore. The net proceeds will be used for various purposes such as organic growth, inorganic growth and general corporate purposes
Enter daily and win something iPhone 15 and smartwatches
Answer today's question below!
Play Now
Also Read – BLS E-Services Limited IPO: Allotment for Fonebox Retail IPO to be completed today; latest GMP, how to check status online
BLS E-Services Promoter
The promoter of the company is BLS International Services Limited. The sponsors of BLS International are Alka Aggarwal, Diwakar Aggarwal, Gaurav Aggarwal, Madhukar Aggarwal, Shikhar Aggarwal, Sushil Aggarwal and Vinod Aggarwal.
BLS E-Services Management
The board includes Rahul Sharma, Shikhar Aggarwal, Diwakar Aggarwal, Shivani Mishra, Ram Prakash Bajpai, Rakesh Mohan Garg and Manoj Joshi.
BLS E-Services colleagues
The listed competitors for BLS E-Services are Emudhra Ltd with an operating revenue of FY23 ₹248.76 crore as compared to ₹243.06 crore for BLS.
BLS E-Services Business
BLS-E Services Limited is a digital service provider that provides supported e-services, grassroots level e-governance services in India and business correspondence services to major banks in the country. Revenue is generated through service fees, transaction commissions, registration fees and various other fees from both consumers and merchants. The company works with state governments and PSU banks and earns service fees or commissions for every successful transaction as part of the contract terms.
BLS E-Services Industry
The key growth drivers for the IT-enabled services industry include:
Digitalization: Catalyst for the next growth cycle Technology is expected to play a crucial role in taking the financial sector to the next level of growth by helping to overcome challenges arising from India's vast geographical location makes physical space at smaller locations economically unviable
Increase in 4G penetration and smartphone usage – India had 1,144 million mobile subscribers as of March 2023 and the number is steadily growing every year.
E-Governance Services in India – Government of India initiatives to further penetrate the use of e-Governance
Also, Read-KP Green Engineering files IPO papers with SEBI to list on BSE SME
BLS E-Services Finance –
The company's operating revenue has increased significantly and reached ₹243.06 crore in FY23 as compared to ₹64.49 Crore in FY2021. According to analysts, its growth is attributed to the expanded services provided through BLS Touchpoints and BCs.
Profit before tax (PBT) has also improved significantly ₹29.58 crore FY23,compared to ₹3.92 crore in FY2021.
BLS E-Services Limited's revenue increased by 150.31% and profit after tax (PAT) increased by 277.94% between the financial year ended March 31, 2023 and March 31, 2022.
Risk factors
BLS engages in predominantly fee- and commission-based activities and its financial performance may be adversely affected by the inability to generate revenue from such activities
Its contracts related to e-governance projects are awarded by government agencies to its promoter, BLS International Services Limited, for providing G2C services to citizens
Due to its limited operating history, the Company may not be able to compete successfully and it may be difficult to evaluate its business and future operating results based on its past performance.
BLS E-Services – Retention of shares allocated to anchor investors
50% of the shares allotted to the Anchor Investors under the Anchor Investor Share will be blocked for a period of 90 days from the date of allotment and the remaining 50% will be blocked for a period of 30 days from the date of allotment.
BLS E-Services subsidiaries
As per the draft Red Herring Prospectus, our company has three subsidiaries namely Starfin India Private Limited, Zero Mass Private Limited and BLS Kendras Private Limited.
Discover a world of benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized news feed – it's all here, just a click away! Log in now!
Topics that might interest you
Comments are closed.