ESDS Software submits the paper projects to Sebi; aims to increase Rs 1,300 crore



Cloud services and data center company ESDS Software Solution has filed preliminary documents with capital markets regulator Sebi to raise Rs 1,200 to 1,300 crore through a first sale of shares.

The initial public offering (IPO) consists of a new issue of shares worth Rs 322 crore and an offer to sell (OFS) of up to 2.15 crore of shares by investors and a member from the promoter group, according to the draft red herring prospectus (DRHP).

The OFS includes the sale of up to 1.68 crore of shares by South Asia Growth Fund II LP, up to 42.31 lakh of shares by GEF ESDS Partners LLC, up to 4 lakh of shares by Sarla Prakashchandra Somani and up to 34,000 shares by South Asia. EBT Trust.

The Nashik-based company may consider a pre-IPO placement totaling up to Rs 60 crore. If placement is complete, the size of the new number will be reduced.

According to merchant bank sources, the initial sale of the shares is expected to bring in Rs 1,200 to 1,300 crore.

The proceeds from the new issuance will be used to purchase cloud computing hardware for the company’s data centers, long-term working capital requirements as well as to repay or prepay some of the term loans and general objectives of the company. the company.

Founded in 2005 by Piyush Somani, the catalyst and facilitator of digital transformation is present in APAC, Europe, the Middle East, the Americas and Africa.

Its business model is broadly categorized into cloud services, data center services and product R&D, and serves customers in the BFSI, healthcare, education, energy and utilities industries, real estate, computer and information technology, agriculture, manufacturing, entertainment and media, e-commerce. .

Some of the company’s clients include Small Industries Development Bank of India, Tata Capital, DCB Bank, Union Bank, and SBI Capital Markets.

For FY 21, his total income was Rs 174.10 crore against Rs 160.53 crore the previous year and EBITDA for the reporting period was Rs 63.81 crore, against over Rs 51, 72 crore the previous year.

Axis Capital and IIFL Securities are the main book managers of the issue.

In 2015, CanBank Venture, the wholly owned subsidiary of Canara Bank, had invested Rs 25 crore in ESDS Software Solution.

(Only the title and image of this report may have been reworked by Business Standard staff; the rest of the content is automatically generated from a syndicated feed.)

Dear reader,

Business Standard has always strived to provide up-to-date information and commentary on developments that matter to you and have broader political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering has only strengthened our resolve and commitment to these ideals. Even in these difficult times resulting from Covid-19, we remain committed to keeping you informed and updated with credible news, authoritative views and cutting edge commentary on relevant current issues.
However, we have a demand.

As we fight the economic impact of the pandemic, we need your support even more so that we can continue to provide you with more quality content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscriptions to our online content can only help us achieve the goals of providing you with even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital editor


Leave A Reply

Your email address will not be published.