Orient Technologies IPO: Should You Apply? Check Registration Status, GMP Today – News18

Orient Technologies IPO: The initial public offering (IPO) of information technology solutions provider Orient Technologies Ltd was opened for public subscription on Wednesday, August 21. The IPO price has been set at Rs 195-206 per share. Till 1:05 pm on the first trading day on Wednesday, the 215-crore IPO received 3.61 times subscription, receiving bids for 2,63,52,360 shares against 72,97,670 shares issued .

According to the latest data, the sale price received a subscription of 6.12 times, while a group of non-institutional investors also received a subscription of 2.56 times.

Orient Technologies IPO will close on August 23. Its price band is set at Rs 195-Rs 206 per share. The allotment is likely to be completed on August 26, while its listing will take place on NSE and BSE on August 28.

Orient Technologies IPO GMP Today

According to market watchers, unlisted shares of Orient Technologies Ltd are trading Rs 30 higher in the gray market than its price. The Rs 30 gray market price or GMP means that the gray market is expecting a listing gain of 14.56 percent from the public issue. GMP is based on market trends and is constantly changing.

‘Grey market premium’ indicates that investors are willing to pay more than the issue price.

Orient Technologies IPO: Analyst Recommendations

Business firm Master Capital Service Ltd in its IPO note said, “Orient Technologies Limited’s expertise in developing IT products and solutions. The company offers a wide range of products and services ranging from in Data Center Solutions and Data Management Services.The company recently entered into ‘Device as a service (DaaS)’ the company will provide desktops, laptops, tablets, printers. scanners, smartphones and servers, complete with software, as well as managed services on a ‘pay-as-you-go’ basis, i.e. subscription.

The company plans to expand its geographical area and cater to more customers worldwide. The company has established a branch in Singapore that specializes in the business of computer equipment such as servers, storage and network equipment. “Investors who want to invest can invest in IPO for medium to long term,” it added.

Another entrepreneurial firm Anand Rathi in its IPO report said, “Orient Technologies deals in IT solutions and related services that provide business networking. The business operations of OTL includes advanced technology solutions that the company collaborates with a number of technology partners including Dell International Services India Private Limited (Dell) and Fortinet, Inc. (Fortinet) and Nutanix Netherlands BV (Nutanix). “

In the high price category, the company has a P/E value of 20.7x with a market capitalization of Rs 8,580 million post equity shares and a profit margin of 27.2 percent. On the value front, we believe the company is cheap. “Therefore, we recommend ‘subscribe’ status to the IPO,” Anand Rathi said.

Orient Technologies IPO: More details

The initial public offering (IPO) is a combination of a fresh issue of Rs 120 crore and a sale offer of up to 46 lakh shares worth Rs 95 crore, at the upper end of the price band, by the promoters. This brings the business volume to Rs 215 crore.

Orient Technologies Ltd has set a price band of Rs 195-206 a share for its Rs 215-crore initial public offering.

The roles being dropped from OFS are Ajay Baliram Sawant, Umesh Navnitlal Shah, Ujwal Arvind Mhatre, and Jayesh Manharlal Shah.

The proceeds from the new issue to the tune of Rs 79.65 crore will be used for capital expenditure requirements, Rs 10.35 crore for acquiring office buildings in Navi Mumbai, and a portion will be used for general corporate purposes.

Investors can apply for a minimum of 72 equity shares and in multiples.

Over the years, the company has developed deep expertise in creating products and solutions for specific disciplines across IT Infrastructure, IT Enabled Services (IteS), and Cloud and Data Management Services.

Orient Technologies has a diverse client base spanning the public and private sectors, including industries such as Banking, Financial Services, Insurance (BFSI), Information Technology (IT) & ITeS, healthcare and pharmaceuticals.

It has clients like Coal India, Mazagon Dock, D’Dcor, Jyothy Labs, ACG, Integreon, Bluechip, Tradebulls. The company operates mainly in India and has sales and service offices in cities around the country, including Navi Mumbai, Pune, Ahmedabad, New Delhi, Bengaluru and Chennai.

In addition, it has a branch office in Singapore.

As of June 30, 2024, Orient Technologies’ order book stood at Rs 101.20 crore.

Orient Technologies’ revenue from operations in fiscal 2024 rose to Rs 602.89 crore from Rs 535.10 crore last year and profit after tax rose to Rs 41.45 crore in fiscal 2024 from Rs 38.30 crore in fiscal 2023.

Elara Capital (India) Pvt Ltd is the sole book-running manager for the IPO. The shares are intended to be listed on BSE and NSE.