Afcom Holdings Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹108
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,29,600
Issue Size
₹73.83 Cr
Face Value
₹10
Per ShareIPO Type
Book Building - SME
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Afcom Holdings Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
52.92%
Issue Type
Book Building - SME
ISIN
INE0OXY01013
About the Company
Afcom Holdings Limited ("Company") in the year 2013 by Capt. Deepak Parasuraman, an aviation industry veteran with a vision to start cargo airline business. The Company applied for airline license to the Ministry of Civil Aviation, India and after due compliances in the year 2017, the Company obtained the NOC from the Ministry of Civil Aviation, India to function and operate cargo airlines. The Company has been operating Cargo Flights to the ASEAN countries like Singapore, Indonesia and Brunei, particularly to Singapore
Industry Overview
India was the 6th largest economy globally, with a GDP of US$2.7 trillion in 2020. India's GDP grew at 7% annually between 2015 and 2019, making it one of the fastest-growing large economies globally. Strong economic growth in the first quarter of FY23 helped India overcome the UK to become the fifth-largest economy after it recovered from the COVID-19 pandemic shock. Real GDP at constant prices (2011-12) in the first quarter of 2023-24 is estimated at Rs. 40.37 trillion (US$ 484.94 billion), showing a growth of 7.8% as compared to the first quarter of 2022-23 estimated at Rs. 37.44 trillion (US$ 449.74 billion). Given the release of pent-up demand and the widespread vaccination coverage, the contactintensive services sector will probably be the main driver of development in 2022-2023. In 2023-24 (April- September), India's service exports stood at US$ 164.89 billion. Furthermore, India's overall exports (services and merchandise) in 2023-24 (April-September) were estimated at US$ 376.29 billion. Rising employment and substantially increasing private consumption, supported by rising consumer sentiment, will support GDP growth in the coming months.
Company History
AFCOM HOLDINGS LIMITED was originally incorporated as `AFCOM HOLDINGS PRIVATE LIMITED' a private limited company under the Companies Act, 1956 with the Registrar of Companies ("ROC"), Tamil Nadu, Chennai, Andaman and Nicobar Islands pursuant to Certificate of Incorporation dated 15th February, 2013. The name of the company was changed from `AFCOM HOLDINGS PRIVATE LIMITED' to `AFCOM HOLDINGS LIMITED', consequent to conversion of the company from private limited company to public limited company, pursuant to Special Resolution passed by the shareholders of the Company in the Extra-ordinary General Meeting held on 27th March, 2023, and a fresh certificate of incorporation consequent to change of name was issued by ROC, Chennai on 11th July, 2023. The corporate identification number of the company is U51201TN2013PLC089652.
Products & Services
- The Company is operating Cargo Flights.
Growth Strategy
- Growth through fleet expansion.
- Growth through Market expansion.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY23 to FY25.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offer of 68,36,400 equity shares of face value of Rs. 10/- each ("Equity Shares") of Afcom Holdings Limited (the "Company" or "Afcom Holdings" or "AHL" or "Issuer") at an issue price of Rs. 108 per equity share (including a share premium of Rs. 98 per equity share) for cash, aggregating up to Rs. 73.83 crores ("Public Issue") out of which 3,54,000 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 108 per equity share for cash, aggregating Rs. 3.82 crores will be reserved for subscription by the market maker to the issue (the "Market Maker Reservation Portion"). The public issue less market maker reservation portion i.e. issue of 64,82,400 equity shares of face value of Rs. 10/- each, at an issue price of Rs. 108 per equity share for cash, aggregating up to Rs. 70.01 crores is hereinafter referred to as the "Net Issue". The public issue and net issue will constitute 27.50 % and 26.08 % respectively of the post-issue paid-up equity share capital of the company.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Workforce Expertise.
- Leadership Excellence.
- Advanced Inspection Systems.
- Delivery Commitment.
- Specialized Talent Retention.
- A member of its Promoter Group, namely P Karthik Iyer Parasuraman is involved in legal proceedings involving SEBI and /or Stock Exchange and CBI.
- The company's top five customers contribute majority of its revenues from operations. Any loss of business from one or more of them may adversely affect its revenues and profitability.
- Any delay in delivering the goods could adversely affect its Business and operations.
- The company individual Promoters plays key role in its functioning and the company heavily relies on their knowledge and experience in operating its business and therefore, it is critical for the company's business that its Promoter and Executive Directors remain associated with it. The company's success also depends upon the services of its key managerial personnel and the company's ability to attract and retain key managerial personnel and its inability to attract them may affect the company's operations.
- The Company has negative cash flow in the past and may continue to do in future, which could have a material adverse effect on its business, prospects, financial condition, cash flows and results of operations.