Chetana Education 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
₹85
Per ShareLot Size
1600 Shares
Minimum Investment
₹1,36,000
Issue Size
₹45.9 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
Chetana Education Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
93%
Promoter Holding (Post-Issue)
68.38%
Issue Type
Book Building - SME
ISIN
INE0U1T01012
About the Company
Chetana Education Limited is a content-based company, specializing in educational book publishing for the CBSE/State Board curriculum catering to the K-12 segment. Additionally, the company provides access to educational software for learning videos (for teachers and Students) accessible through QR (Quick Response) codes, backed by a comprehensive sales and distribution network. The Company currently focuses on serving the Maharashtra State Board and Central Board of Secondary Education (CBSE), covering the spectrum of education books from early pre-primary learning to K-12 course. During the Fiscal year 2023, the company sold over 6 million books, covering students across different standards ranging from pre-primary, primary, secondary, and higher secondary levels.
Industry Overview
With ~26.31% of India's population in the age group of 0-14 years, India's education sector provides numerous opportunities for growth. According to the Union Budget 2023-24: The government allocated Rs. 68,804.85 crore (US$ 8.3 billion) for the Department of School Education and Literacy, compared with Rs. 59,819.37 crore (US$ 8 billion) in the Union Budget 2022-23, a 13.06% YoY increase. Government of India's target of Gross Enrolment Ratio (GER) of 50% by 2035 for students in the 18-23 age group is expected to drive investments in the education space. According to KPMG, India has also become the second largest market for E-learning after the US.
Company History
Chetana Education Limited was originally formed as a Limited Liability Partnership in the name and style of "Chetana Publications (India) LLP" under the provisions of the Limited Liability Partnership Act, 2008 on December 30, 2017 vide Certificate of Incorporation issued by Central Registration Centre, Registrar of Companies. Consequently, its name was changed to `Chetana Education LLP', and a fresh certificate of incorporation dated October 17, 2021 was issued by the RoC. Subsequently, the Company was converted into a public limited company under Companies Act with the name `Chetana Education Limited' pursuant to a fresh certificate of incorporation dated January 21, 2024 was issued by the Registrar of Companies, Mumbai, Maharashtra, bearing CIN: U58111MH2024PLC417778.
Products & Services
- Chetana Education Limited is a content-based company, specializing in educational book publishing for the CBSE/State Board curriculum.
Growth Strategy
- Increasing our presence in Maharashtra State Board, CBSE and other State Boards.
- Strengthening technology enabled system including digital media.
- Focus on talent acquisition.
- Diversification of product range.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 2 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 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 54,00,000* equity shares of face value of Rs. 10/- each (the "Equity Shares") of Chetana Education Limited ("The Company" or "The Issuer" or "CEL") at an issue price of Rs. 85 per equity share for cash, aggregating up to Rs. 45.90 crores ("Public Issue") out of which 2,73,600 equity shares of face value of Rs. 10 each, at an issue price of Rs. 85 per equity share for cash, aggregating Rs. 2.33 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 51,26,400 equity shares of face value of Rs. 10 each, at an issue price of Rs. 85 per equity share for cash, aggregating upto Rs. 43.57 crores is here in after referred to as the "Net Issue". The public issue and net issue will constitute 26.47% and 25.13% respectively of the post-issue paid-up equity share capital of the company. *Subject to finalization of basis of allotment. The face value of the equity shares is Rs. 10/- each. The issue price is 8.50 times with the face value of the equity shares.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Focused digital and technology platform.
- Consumer focused education content player.
- Healthy position in the K-12 market.
- Established network for content development and printing.
- Widespread sales and distribution network.
- Its business is intricately tied to the academic cycle, making it somewhat cyclical in nature. As a result, its revenue and profitability may not be comparable from one period to another.
- Its product is subject to changing examination paper pattern and syllabus, and customer preferences, its inability to meet such needs or preferences may affect the company's business.
- The contents of the books the company publish and the authors who drafts these content are very significant for its business. The loss of all or any of its authors could adversely affect its business, results of operation, cash flows and financial condition.
- The company generates its major portion of revenue from Maharashtra Board and CBSE and any adverse developments affecting its operations with them could have an adverse impact on its revenue and results of operations.
- Its business and results of operations may be adversely affected by factors such as general economic conditions, changes in the educational policies of the government and changes to the syllabus and curriculum standard.