Route Mobile to open IPO on Sept 9; Price Band of Rs345-350 per equity share

The Minimum Bid lot is 40 Equity Shares and in multiples of 40 Equity Shares thereafter.

Sep 04, 2020 04:09 IST India Infoline News Service

IPO
Route Mobile, among the leading Omnichannel Cloud Communication Service Provider (CPaaS), will be opening its initial public offering on September 9, 2020 and will close on September 11, 2020, with a price band of Rs345 – Rs350 per Equity Share.

Bids by anchor investors shall be submitted, and allocation to them be will be completed, on September 8, 2020, being one working day prior to the Offer opening date.

Incorporated in 2004, the Company has served more than 30,150 clients since its inception, as of June 30, 2020.

Highlights:
  • Minimum Bid lot is 40 Equity Shares and in multiples of 40 Equity Shares thereafter
  • Price Band of Rs345 – Rs350 per Equity Share
  • Offer opening date – September 9, 2020 and Offer closing date – September 11, 2020
  • The floor price is 34.5 times the face value of the Equity Shares and the cap price is 35 times the face value of the Equity Shares.
The company operates through prepaid and postpaid business models with high operating margins and low cost base. The indigenously developed CPaaS platform is scalable with limited capital expenditure requirements.  In FY 20, Route Mobile processed more than 30.31 billion billable transactions and three months ended 2020, it processed more than 6.95 billion billable transactions.

The Company generated revenue from operations - Rs504.9cr, Rs844.6cr, Rs9,56.2cr and Rs309.6cr in fiscal 2018, 2019 and 2020, and in the three months ended June 30, 2020, respectively.

The Company proposes to utilize the Net Proceeds towards funding for repayment or pre-payment, in full or part, of certain borrowings of the Company; acquisitions and other strategic initiatives; purchase of office premises in Mumbai; and general corporate purposes.

ICICI Securities Limited, Axis Capital Limited, Edelweiss Financial Services Limited and IDBI Capital Markets & Securities Limited have been appointed as the book running lead managers to the Offer and KFin Technologies Private Limited is appointed as the Registrar to the Offer. The Equity Shares offered through the RHP are proposed to be listed on National Stock Exchange of India Limited (“NSE”) and BSE Limited (“BSE”).

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