The initial public offer (IPO) of Happiest Minds Technologies opened for subscription today on September 7 and those who want to invest can do so till September 9. Investors are required to buy a minimum 90 shares. Each equity share of the company falls in the price band of Rs 165 to 166. The shares will be listed on the NSE and the BSE.
Happiest Minds Technologies aims to raise up to Rs 702 crore through fresh equity shares, reported Livemint. The Bengaluru-headquartered information technology (IT) services firm raised Rs 316 crore from anchor investors on September 4. The investors included the Government of Singapore, Pacific Horizon Trust and Kuwait Investment Auth Fund, among others.
Ashok Soota-promoted company’s IPO includes fresh issue of 66.2 lakh shares and offer for sale (OFS) of up to 356.6 lakh shares. With the offering of the IPO, the promoter’s stake in the company will plunge from 62 per cent to 53 per cent.
The company has a global presence in countries like the UK, the US, Australia, Canada and West Asia. According to livemint, Happiest Minds Technologies, founded in 2011, had 148 active customers globally as on June 30. Its major revenue, more than 95 per cent, comes from digital IT services.
Ashok Soota, who was the founding chairman and managing director of MindTree Limited, also served as the vice-chairman of Wipro Limited.
“Digital is growing much faster than the traditional market and, therefore, we are able to grow at 20-plus per cent compounded whereas the industry has come down to 8-10 per cent,” the news website reported quoting Soota.
He also added that the company’s 76 per cent business witnessed no influence amid the pandemic, at a time when novel coronavirus has impacted the IT industry, drastically.
All those who are willing to subscribe in the company’s IPO should take note that the revenues are highly dependent on a limited number of industry verticals. The revenues might get impacted in case of any decline in demand for outsourced services.
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