Thinking Hats Entertainment Solutions Limited is coming up with an IPO with a fresh issue of 34,50,000 shares worth INR 15.09 crores. The company aims to repay loans, fund working capital, and cover general corporate purposes.
Thinking Hats Entertainment IPO – Important Dates
| Thinking Hats Entertainment Solutions Limited IPO Date | September 25, 2024 to September 27, 2024 |
| Thinking Hats Entertainment Solutions Limited IPO Listing Date | October 3, 2024 |
| Thinking Hats Entertainment Solutions Limited IPO Price | INR 42-44 per share |
| Thinking Hats Entertainment Solutions Limited IPO Lot Size | 3000 Shares |
| Thinking Hats Entertainment Solutions Limited IPO Total Issue Size | INR 15.09 crores |
| Thinking Hats Entertainment Solutions Limited IPO Basis of Allotment | September 30, 2024 |
| Thinking Hats Entertainment Solutions Limited IPO Initiation of Refunds | October 1, 2024 |
| Thinking Hats Entertainment Solutions Limited IPO Credit of Shares to Demat | October 1, 2024 |
| Thinking Hats Entertainment Solutions Limited IPO Issue Type | Book Built Issue IPO |
| Thinking Hats Entertainment Solutions Limited IPO Listing At | NSE SME |
Read more about Thinking Hats Entertainment Solutions Limited IPO GMP
Thinking Hats Entertainment Solutions Limited IPO – Company Profile
Thinking Hats Entertainment Solutions Limited has evolved from an event design and production company into an OTT content production and experiential marketing firm. It offers event management, content development, retail merchandising, and tech-centric product development services.
In addition to producing OTT content, the company creates YouTube short films and corporate event movies. For future growth, it is expanding into AI, AR, VR, animation, and content licensing.
With over a decade of experience, the company has excelled in event management, film production, and OTT content creation while expanding into digital transformation, forging partnerships, and serving leading corporate and media clients.
Thinking Hats Entertainment Solutions Ltd IPO Fundamental Analysis
Thinking Hats Entertainment Solutions Limited’s financial analysis reveals a mixed performance. Revenue has steadily increased, while profitability and EPS improved significantly. Despite growth in assets, weakening liquidity is reflected in the lower current ratio.
- Revenue Trend: The revenue increased from ₹1,160.19 lakhs in March 2022 to ₹2,214.75 lakhs in March 2023. The revenue for the current year’s 12-month period ending March 2024 is INR 2,663.18 lakhs.
- Equity and Liabilities: Both equity and liability have shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has decreased, indicating reduced reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly increased from ₹37.21 lakhs in March 2022 to ₹309.16 lakhs by March 2024. This improvement in profitability could be a source of confidence among investors.
- Earnings per Share (EPS): The diluted EPS has risen from ₹4.88 in March 2022 to ₹39.38 by March 2024, reflecting higher earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has risen from 9.99% to 28.11%, indicating an increase 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 decreased, indicating weakening liquidity and potential challenges in meeting short-term obligations.
Thinking Hats Entertainment IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 March 2024 |
| Revenue (₹ in lakhs) | 1,160.19 | 2,214.75 | 2,663.18 |
| Equity (₹ in lakhs) | 372.47 | 573.26 | 1,099.86 |
| Expenses (₹ in lakhs) | 1,197.29 | 1,953.23 | 2,239.82 |
| Profit and Loss After Tax (₹ in lakhs) | 37.21 | 200.79 | 309.16 |
| Diluted EPS only (₹) | 4.88 | 26.33 | 39.38 |
| Return on Net Worth (%) | 9.99 | 35.03 | 28.11 |
| NAV per Equity Share (₹) | 4.88 | 7.52 | 12.56 |
| Total Assets (in lakhs) | 641.14 | 1,456.81 | 2,403.22 |
| Total Liabilities (in lakhs) | 268.67 | 883.55 | 1,303.36 |
| Debt Equity Ratio | – | 0.72 | 0.49 |
| Current Ratio (in times) | 2.10 | 1.61 | 1.84 |
Thinking Hats Entertainment Solutions Limited IPO Peer Comparison
Thinking Hats Entertainment Solutions Limited shows strong profitability and return on equity but faces challenges with liquidity. E Factor Experiences Limited excels with higher earnings and profitability, while Inspire Films Limited demonstrates modest profitability with lower liquidity.
| Company | Type of financial | Revenue from Operations (₹ in lakhs) | Face Value per Equity Share (₹) | P/E Ratio | EPS (Basic & Diluted) (₹) | RoNW (%) | NAV per Equity Share (₹ in lakhs) |
| Thinking Hats Entertainment Solutions Limited | Standalone | 2,663.18 | 10 | – | 3.57 | 28.11 | 12.56 |
| E Factor Experiences Limited | Consolidated | 14,85 5.74 | 10 | 14.20 | 13.63 | 30.48 | 38.50 |
| Inspire Films Limited | Standalone | 3,036.82 | 10 | 17.8 | 3.07 | 7.62 | 24.80 |
Thinking Hats Entertainment Solutions Ltd IPO Objective
The main objective of Thinking Hats Entertainment Solutions Limited is to prepay or repay loans and fund its working capital requirements, ensuring financial stability and supporting business operations.
- Prepayment or repayment of all or a portion of certain loans availed by their company: The company intends to utilize INR 2 crores from net proceeds for loan repayment, reducing debt, lowering servicing costs, improving leverage capacity, and enabling further investments in business growth and expansion opportunities.
- Funding the company’s working capital requirements: The company plans to utilize INR 9 crores from net proceeds for working capital requirements, allocating INR 7 crores in Fiscal 2025 and INR 2 crores in Fiscal 2026, while investing INR 2 crores in fixed deposits pending utilization.
- General Corporate Purposes: The company will deploy the balance of funds for general corporate purposes, including meeting operating expenses and initial project development costs, strengthening business development and marketing capabilities, and addressing unforeseen exigencies in the ordinary course of business.
Thinking Hats Entertainment IPO Risks And Challenges
Thinking Hats Entertainment Solutions Limited’s risk includes heavy reliance on event management revenue, potential client shifts to in-house management, third-party liabilities, and seasonality impacts from extreme weather, all of which could adversely affect financial performance.
- The company relies heavily on its event management division for revenue. Shifts to in-house management by clients or competitive pricing from rivals could adversely affect operations. Diversifying services and client retention are critical for future success and financial stability.
- The company manages events under strict quality and timeline requirements, facing penalties or claims for inadequate performance. Liability for third-party services could lead to personal injury or property damage costs, impacting operations.
- The company’s event management business faces seasonality risks, as extreme weather and reduced events can disrupt operations and increase costs. Such fluctuations negatively impact income, cash flows, and overall financial performance, leading to variability in results.
Thinking Hats Entertainment Solutions Ltd IPO – Industry & Market Potential
The Indian Media and Entertainment industry is rapidly growing. The advertising-to-GDP ratio is expected to reach 0.4% by 2025, up from 0.38% in 2019, driven by increased internet access and rising consumer demand.
India’s media and entertainment industry is expected to grow annually by 20% and ranks fifth largest globally. Significant trends include rising OTT subscriptions, a booming mobile gaming market, and increasing advertising revenue.
The Indian M&E industry is poised for rapid growth, driven by rising incomes, increasing internet penetration, and digital adoption. Future development will come from retail advertising, e-commerce, and rural markets, supported by 5G and 6G technology advancements.
Thinking Hats Entertainment Solutions Limited IPO – Type of Offer
Thinking Hats Entertainment Solutions Limited is coming up with an IPO with a fresh issue of 34,50,000 shares worth INR 15.09 crores. The company aims to repay loans, fund working capital, and cover general corporate purposes.
Thinking Hats Entertainment IPO Offer Size
The offer size of Thinking Hats Entertainment Solutions Limited is INR 15.09 crores, consisting of a fresh issue of 34,50,000 shares. The company seeks funds to repay loans, fund working capital, and cover general corporate purposes.
Thinking Hats Entertainment Solutions Limited IPO Allotment Structure
Thinking Hats Entertainment Solutions 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. 180,000 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. 180,000 shares, are reserved for market makers.
How to apply for the Thinking Hats Entertainment Solutions IPO?
To apply for the Thinking Hats Entertainment Solutions Limited IPO through Alice Blue, 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 Thinking Hats Entertainment Solutions 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 Thinking Hats Entertainment Solutions 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.
Read more about Thinking Hats Entertainment Solutions Limited IPO Allotment Status
How do you check Thinking Hats Entertainment Solutions 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 the 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 Thinking Hats Entertainment Solutions 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 Thinking Hats Entertainment Solutions 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, we request you to reach out to our customer support team at Alice Blue for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Thinking Hats Entertainment Solutions Limited IPO:
● Registrar’s Website: Visit the website of MAS Services Limited, the registrar of the Thinking Hats Entertainment Solutions 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.
Thinking Hats Entertainment Solutions Ltd IPO Offer Registrar
The registrar for the Thinking Hats Entertainment Solutions Limited IPO is MAS Services Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
MAS Services Limited
T-34, 2nd Floor, Okhla Industrial Area,
Phase-II New Delhi- 110 020,
Delhi, India.
Telephone: +91 112 638 7281/83, 114 132 0335
E-mail: [email protected]
Thinking Hats Entertainment Solutions IPO – FAQs
1. What is the allotment date of the Thinking Hats Entertainment Solutions IPO?
The allotment date of the Thinking Hats Entertainment Solutions Limited IPO is September 30, 2024.
2. What is the price band of the Thinking Hats Entertainment Solutions IPO?
The price band of the issue is INR 42-44 per share.
3. What is the size of the Thinking Hats Entertainment Solutions IPO?
Thinking Hats Entertainment Solutions Limited is coming up with an IPO with a fresh issue of 34,50,000 shares worth INR 15.09 crores. The company aims to repay loans, fund working capital, and cover general corporate purposes.
4. What is the listing date of the Thinking Hats Entertainment Solutions IPO?
The listing date of Thinking Hats Entertainment Solutions Limited’s IPO is October 3, 2024.
