Mumbai. Chetna Education Limited, established in 2017, is set for its Initial Public Offering (IPO), in which it is going to raise Rs 45.90 crore by issuing 54 lakh new shares. The company has fixed a price band of Rs 80 to Rs 85 per share. Hem Securities Limited is the book running lead manager for Chetna Education IPO and Link Intime India Private Limited is the registrar for the issue.
The company’s shares will open for subscription on Wednesday, July 24, 2024 and close on Friday, July 26, 2024. They will be listed on NSE SME, with an estimated listing date of Wednesday, July 31, 2024. The market maker for Chetna Education IPO is Hem Finlease.
The company specializes in publishing educational software for textbooks and educational videos for the K-12 segment for CBSE/State Board curriculum, accessible by teachers and students through QR (Quick Response) codes.
Proceeds from the issue will be used for repayment of outstanding loans, meeting working capital requirements and general corporate purposes.
Allotment of shares for Chetna Education IPO is expected on Monday, 29th July 2024 and shares will be credited to the demat account of allottees on Tuesday, 30th July 2024. The IPO has 50% of the net issue for QIBs, 35% for retail investors and 15% for NII segment.
The minimum lot size for an application is 1600 shares, in which retail investors have to contribute a minimum of Rs 1.36 lakh. The minimum bid size for HNIs is two lots or 3200 shares, with a total investment of Rs 2.72 lakh, based on the upper price band.
Chetana Education Limited reported standalone revenue from operations of Rs 93.50 crore and profit after tax (PAT) of Rs 12.03 crore in FY-24.
Chetana Education currently serves the Maharashtra State Board and Central Board of Secondary Education (CBSE) and covers the entire textbook range from early pre-primary education to K-12 curriculum. During FY-23, the company has sold over 6 million books for students from early pre-primary to primary, secondary and senior secondary levels. The company works with over 400 contracted authors who contribute to content creation for the company.