Diensten Tech Limited is launching an IPO with a fresh issue of 22,08,000 shares worth INR 22.08 crores. The company aims to settle a business acquisition liability and address working capital and corporate needs.
Diensten Tech IPO – Important Dates
| Diensten Tech Limited IPO Date | June 26, 2024, to June 28, 2024 |
| Diensten Tech Limited IPO Listing Date | July 3, 2024 |
| Diensten Tech Limited IPO Price | INR 95-100 per share |
| Diensten Tech Limited IPO Lot Size | 1200 shares |
| Diensten Tech Limited IPO Total Issue Size | INR 22.08 crores |
| Diensten Tech Limited IPO Basis of Allotment | July 1, 2024 |
| Diensten Tech Limited IPO Initiation of Refunds | July 2, 2024 |
| Diensten Tech Limited IPO Credit of Shares to Demat | July 2, 2024 |
| Diensten Tech Limited IPO Issue Type | Book Built Issue IPO |
| Diensten Tech Limited IPO Listing At | NSE SME |
Diensten Tech Limited IPO – Company Profile
Diensten Tech Limited provides IT professional resourcing, consultancy, training, and software AMC services. It connects clients with skilled IT professionals, manages team capacities, and offers in-house technology experts to ensure successful project delivery.
Their company offers IT support and consultancy, skilled staffing solutions, training, development, and capacity building. They hire, train, and deploy employees nationwide and provide expert services through tailored agreements with clients.
They provide technical consultancy, training, and software services to diverse sectors, focusing on PS & T post-acquisition. Their skilled resources ensure top-quality service, serving clients like TCS, Capgemini, Maruti Suzuki, and Pepsico.
Diensten Tech Ltd IPO Fundamental Analysis
Diensten Tech Limited Technologies’ financial analysis reveals a mixed performance. Revenue experienced growth but fell short in December 2023. Liabilities and debt-equity ratio increased. Profitability declined, EPS reduced, and RoNW decreased.
- Revenue Trend: The revenue increased from ₹72.41 lakhs in March 2022 to ₹3,752.68 lakhs in March 2023. The revenue for the current year’s 9-month period ending December 2023 is INR 2,608.09 lakhs.
- Equity and Liabilities: Liability has shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has increased, indicating risen reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly decreased from ₹1.45 lakhs in March 2022 to ₹(171.70) lakhs by December 2023. This decline in profitability could be a source of concern among investors.
- Earnings per Share (EPS): The diluted EPS has reduced from ₹0.16 in March 2022 to ₹(2.84) by December 2023, reflecting lower earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has reduced from 1.04% to (67.77)%, indicating a decrease in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has increased, indicating strengthening liquidity and potential challenges in meeting short-term obligations.
Diensten Tech IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 December 2023 |
| Revenue (₹ in lakhs) | 72.41 | 3,752.68 | 2,608.09 |
| Equity (₹ in lakhs) | 139.99 | 425.05 | 253.34 |
| Expenses (₹ in lakhs) | 70.15 | 3,737.92 | 2,855.50 |
| Profit and Loss After Tax (₹ in lakhs) | 1.45 | 16.06 | (171.70) |
| Diluted EPS only (₹) | 0.16 | 0.29 | (2.84) |
| Return on Net Worth (%) | 1.04 | 3.78 | (67.77) |
| NAV per Equity Share (₹) | 15.90 | 7.02 | 4.19 |
| Total Assets (in lakhs) | 203.66 | 1,504.81 | 3,019.89 |
| Total Liabilities (in lakhs) | 63.67 | 1,079.76 | 2,766.55 |
| Debt Equity Ratio | – | 0.66 | 7.29 |
| Current Ratio (in times) | 1.71 | 1.43 | 1.73 |
Diensten Tech Limited IPO Peer Comparison
The Company operates uniquely with no exact industry peers, offering specialized technical consultancy, training, and software services across diverse sectors. It focuses on excellence and top-tier client satisfaction.
Diensten Tech Ltd IPO Objective
The main objective of Diensten Tech Limited is to settle acquisition liabilities and address working capital needs.
- Payment of liability was raised against the outstanding payment of consideration for the “Professional Services and Training Division” business acquired from J K Technosoft Limited, vide the Business Transfer Agreement Dated April 30, 2022.: The company intends to utilize INR 5.67 crores to settle the acquisition of JK Technosoft’s Professional Services and Training Division in three stages, with outstanding payments due by April 2024, funded from issue proceeds.
- Working Capital Requirements: The company plans to utilize INR 11.77 crores from Net Proceeds to cover part of the projected Rs. 24.32 crore working capital requirement for FY 2025, with the remainder sourced internally or through financing.
- General Corporate Purpose: The Company will deploy the balance of funds towards general corporate purposes, including strategic initiatives, strengthening marketing capabilities, meeting difficulties, and conducting brand-building exercises to enhance operational efficiency.
Diensten Tech IPO Risks And Challenges
Diensten Tech Limited’s risk includes a restated loss of Rs.1.72 crore, revenue growth challenges, talent competition, and potential infringement that could adversely impact branding and reputation and divert resources.
- The Company incurred a restated loss of Rs. 1.72 crore for the period ending December 31, 2023, mainly due to increased amortization costs from business transfer agreements. Revenue growth challenges may hinder profitability.
- Their business’s smooth operation and growth hinge on sourcing, training, and retaining skilled IT professionals to meet client needs. Talent competition is fierce, necessitating continual recruitment, training, and adaptation to evolving technologies.
- While their logo is registered, there’s no assurance against infringement. Any misuse could harm branding and reputation, necessitating legal action that may divert resources and adversely impact financial results.
Diensten Tech Ltd IPO – Industry & Market Potential
The global IT market is robust, with a projected growth of $11995.97 billion by 2027. Cloud computing and open-source alternatives are driving innovation. Significant players include Apple, Microsoft, and Huawei.
India’s IT industry is robust, with significant growth in revenue and export earnings, reaching US$227 billion in FY22. It’s expected to hit US$350 billion by 2026, contributing 10% to GDP.
India’s IT sector is anticipated to create significant employment opportunities, with cloud utilization potentially adding US$ 380 billion to the GDP by 2026. Minister Piyush Goyal predicts service exports to reach US$ 1 trillion by 2030.
Diensten Tech Limited IPO – Type of Offer
Diensten Tech Limited is launching an IPO with a fresh issue of 22,08,000 shares worth INR 22.08 crores. The Company aims to settle a business acquisition liability and address working capital and corporate needs.
Diensten Tech Ltd IPO Offer Size
The offer size of Diensten Tech Limited is INR 22.08 crores, consisting of a fresh issue of 22,08,000 shares. The Company seeks funds to settle a business acquisition liability and address working capital and corporate needs.
Diensten Tech Limited IPO Allotment Structure
Diensten Tech Limited’s allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 35% for Retail Individual Investors (RII) according to SEBI regulations. 110,400 shares are reserved for market makers.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 35% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
● Market Maker Reservation: A portion of shares, i.e. 110,400 shares, are reserved for marker makers.
How to apply for a Diensten Tech Limited IPO?
To apply for the Diensten Tech Limited IPO through Alice Blue, you would typically follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Diensten Tech Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the Diensten Tech Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check Diensten Tech Limited’s IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Diensten Tech Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Diensten Tech Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended that you contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Diensten Tech Limited IPO:
● Registrar’s Website: Visit the website of KFin Technologies Limited, the registrar of the Diensten Tech Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) Small Medium Exchange (SME). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
Diensten Tech Limited Ltd IPO Offer Registrar
The registrar for the Diensten Tech Limited IPO is KFin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
KFIN TECHNOLOGIES LIMITED
Selenium Tower- B, Plot 31-32,
Gachibowli, Financial District,
Nanakramguda, Serilingampally,
Hyderabad-500 032, Telangana, India.
Tel No.: +91 40 6716 2222
Email: [email protected]
Website: www.kfintech.com
Diensten Tech Limited Limited IPO – FAQs
The allotment date of the Diensten Tech Limited IPO is July 1, 2024.
The price band of the issue is INR 95-100 per share.
The offer size of Diensten Tech Limited is INR 22.08 crores, consisting of a fresh issue of 22,08,000 shares. The company seeks funds to settle a business acquisition liability and address working capital and corporate needs.
The listing date of Diensten Tech Limited’s IPO is July 3, 2024.
