Updater Services Ltd IPO
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Updater Services Ltd IPO Details
Details
| Total Shares Offered | Offer to Public | Retail Max (Shares) | Pre Issue Promoters Holding | Exchange | Issue size |
|---|---|---|---|---|---|
| ₹ 213.33 L | ₹ 80 L | ₹ 21.33 L | ₹ 429.99 L | BSE | ₹ 640 Cr |
| IPO Open Date | Close Date | Lot Size | Min Investment | Issue Type | Listing Date |
| 25 Sep, 23 | 27 Sep, 23 | 50 | ₹ 14,000 | Book Building | 04 Oct, 23 |
Updater Services Ltd IPO Dates
Details
| Sector | Type |
|---|---|
| Sector | Miscellaneous |
| Sub Sector | NA |
| Issue Type | Book Building |
Subscription Status
*Values are in Lakhs
| Investor Type | Subscription Times | Shares Offered* | Shares Bid* |
|---|---|---|---|
| QIB | 0x | 16000000 | 0 |
| NII | 0x | 3200000 | 0 |
| Retail | 0x | 2133333 | 0 |
| Employee | 0x | 0 | 0 |
| Total | 0x | 21333333 | 0 |
Subscription Status
Investor Type
QIB
NII
Retail
Employee
Total
*Values are in Lakhs
Updater Services Ltd Financial Status
Income Statement
Balance Sheet
| Particulars (in Rs. Crores) | FY23 | FY22 | FY21 |
|---|---|---|---|
| Revenue from operations | 2,444.36 | 2,098.89 | 1,483.55 |
| EBITDA | 71.24 | 68.15 | 48.03 |
| PAT | 35.30 | 32.41 | 36.94 |
| Total Assets | 662.23 | 416.53 | 335.13 |
| Share Capital | 66.95 | 52.95 | 52.82 |
| Total Borrowings | 377.75 | 272.84 | 145.49 |
| Operating Activities (Net Cash) | 50.96 | 47.56 | 42.59 |
| Investing Activities (Net Cash) | 389.92 | 378.24 | 165.13 |
| Financing Activities (Net Cash) | 377.75 | 272.84 | 145.49 |
| Net Cashflow | 21.78 | 32.99 | 10.75 |
Particulars (in Rs. Crores)
Revenue from operations
EBITDA
PAT
Total Assets
Share Capital
Total Borrowings
Operating Activities (Net Cash)
Investing Activities (Net Cash)
Financing Activities (Net Cash)
Net Cashflow
About Updater Services Ltd
Updater Services Limited was incorporated in Chennai, Tamil Nadu as 'Updater Services Private Limited' pursuant to a certificate of incorporation dated November 13, 2003 issued by the RoC, upon the conversion of 'Updater Services', a partnership firm, into a private limited company, in accordance with the provisions of Part IX of the Companies Act, 1956. Thereafter, the Company was converted from a private limited company to a public limited company, pursuant to a resolution passed in the extraordinary general meeting of its Shareholders held on February 22, 2022, and consequently, the name of the Company was changed to 'Updater Services Limited', and a fresh certificate of incorporation dated March 24, 2022 was issued to the Company by the RoC.
The total IFM market in India in the Financial Year ended March 31, 2023 is valued at Rs. 100,386.70 crore and around 39.3% of this is outsourced to 3rd party companies. In the Financial Year ended March 31, 2023, the outsourced IFM market was estimated to be worth Rs. 39,480.00 crore. Between the Financial Year ended March 31, 2018 and the Financial Year ended March 31, 2023, the outsourced Indian IFM market grew at a CAGR of 9.5%. The outsourced IFM market is expected to grow at a CAGR of 17.0% from the Financial Year ended March 31, 2023 - the Financial Year ended March 31, 2028 and reach Rs. 86,442.0 crore. The market for BSS is valued at Rs.7,115 crores in the Financial Year ended March 31, 2023. The market recorded a CAGR of 8.0% from the Financial Year ended March 31, 2018 to the Financial Year ended March 31, 2023. The BSS market is expected to grow at a CAGR of 15.3% from the Financial Year ended March 31, 2022 - the Financial Year ended March 31, 2028 and reach Rs. 14,477.6 crores.
Updater Services Limited is a leading, focused, and integrated business services platform in India offering integrated facilities management (IFM) services and business support services (BSS) to its customers, with a pan-India presence. The Company is the second largest player in the IFM market in India and have the widest service offering in the industry, making us a unique and differentiated player in the market. Its portfolio of services has evolved over the years to cater to diverse customer segments across sectors including FMCG, manufacturing and engineering, BFSI, healthcare, IT / IteS, automobiles, logistics and warehousing, airports, ports, infrastructure and retail, among others. Within its BSS segment, the company offers Audit and Assurance services through its Subsidiary, Matrix and according to F&S Report, Matrix is a leading Audit and Assurance company for dealer / distributor audits, and retail audits and its strong branch reach and field associate reach has driven the company to reach the top spot in India, with a market share of 19.2% in the Financial Year ended March 31, 2023. We also offer employee background verification check services through Matrix and in this segment, Matrix is the third largest company in India in this segment with a share of 5.4% in the Financial Year ended March 31, 2023. In addition, the company provides sales enablement services through its Subsidiaries Denave and Athena and as per the F&S Report, Denave is the largest player in this segment with a market share of 20.1% in India in the Financial Year ended March 31, 2023. In addition, the company offers mailroom management services through its Subsidiary, Avon which is a market leader in India with a share of 11.1% in the mailroom management services market in the Financial Year ended March 31, 2023.
Peer Comparison:
- Quess Corp Ltd
- SIS Ltd
- Team Lease Services Ltd
Updater Services Ltd IPO Key Points
Strengths
- Integrated business services platform, operating across diverse segments.
- Longstanding relationship with customers across diverse sectors leading to recurring business.
- Track record of successful acquisition and integration of high margin business segments.
- Pan India presence with large and efficient workforce coupled with strong recruitment capabilities.
- Technology at the forefront of its current and future business.
Risk
- Operational risks are inherent in the company business as it includes rendering services in contrasting environments. A failure to manage such risks including any errors, defects or disruption in its service or inability to meet expected or agreed service standards, could have an adverse impact on the company business, cash flows, results of operations and financial condition.
- The company has a large workforce deployed across workplaces and customer premises. Consequently, its may be exposed to service-related claims and losses or employee disruptions that could have an adverse effect on the company reputation, business, cash flows, results of operations and financial condition.
- The company's businesses are manpower intensive and its inability to attract and retain skilled manpower could have an adverse impact on the company growth, business and financial condition. Further, in the event its are not able to manage the company attrition, its may not be able to meet the expectations of the customers, which may have an adverse impact on the financial condition.
Strategy
- Retain, strengthen and grow customer base with a focus on deepening relationships with existing customers.
- Grow market share in key segments.
- Introduce new products and services catering to existing and new customer segments.
- Pursue inorganic growth through strategic acquisitions of high margin businesses supplemental to its operations.
- Continue to improve operating margins.
- Integrated business services platform, operating across diverse segments.
- Longstanding relationship with customers across diverse sectors leading to recurring business.
- Track record of successful acquisition and integration of high margin business segments.
- Pan India presence with large and efficient workforce coupled with strong recruitment capabilities.
- Technology at the forefront of its current and future business.
How To Apply for Updater Services Ltd IPO Online?
Step 1:
Log in to the BlinkX stock market app and click ‘IPO’ in the Xplore section.
Step 2:
From the list of open IPOs, select the IPO you want to invest.
Step 3:
Go through the IPO details like lot size, price band, about the company, etc.
Step 4:
Click ‘Apply IPO’ to apply and enter the number of lots and bidding price along with your UPI ID.
Step 5:
Confirm your bid and accept the payment mandate sent to your UPI App for completing the IPO application.
