India Exposition Mart Limited is one of the most important venue planners and providers in the country and the owner of the India Expo Centre in Greater Noida. The company has recently filed its Draft Red Herring Prospectus with the market regulator Securities and Exchange Board of India, to launch an IPO.
You can consider investing in India Exposition Mart Limited IPO as it holds the opportunity to yield high returns. But before investing, you should have a clear idea about the businesses it deals with. Moreover, you should go through its strengths, weaknesses and future scope. It will help you have a clearer idea about whether the IPO suits your financial objectives or not.
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About the Company-India Exposition Mart Limited
India Exposition Mart is a leading venue planner and provider in India. It provides technology-driven, safe, and international standard facilities and is an ideal place for hosting high-level global B2B conferences, exhibitions, product launches, congresses, promotional events, and various other such occasions.
India Expo Mart is located in Greater Noida and is one of India’s top four integrated exhibitions and convention venues. The expo mart is used to organise and manage seminars, conventions, ramp shows, meetings, and important nights. In the previous five fiscal years, India Expos Mart has organised and managed nearly 170 events including trade events.
The company has also ventured into organising virtual events. It has been responsible for organising the first-ever virtual show for the country’s export market, Indian Handicrafts and Gifts Fair-Delhi in 2020.
The company has a rich operating experience of 15 years in organising and managing exhibitions and trade fairs. Some prominent events it has organised include Elecrama, Indian Handicrafts and Gifts Fair, Print Pack, CPHI&P-MEC and Auto Expo- The Motor Show. Its clientele includes the Government of India, renowned companies, global agencies, and statutory corporations.
Greater Noida is an important destination for important events held in India and India Exposition Mart’s strategic location enables it to leverage the benefits of location. The company operates a venue spread over 58 acres with a 2,34,453.29 square metre covered area. The connectivity, infrastructure and support facilities available here make it a prominent place for meetings, exhibitions and trade fairs.
India Exposition Mart has memberships with various important national and international associations. This includes the Confederation of Indian Industry, UFI- The Global Association of the Exhibitions Industry, India Convention Promotion Bureau, International Congress and Convention Association and the Federation of Indian Chambers of Commerce and Industry. This company also showcases self-developed exhibitions such as Ayuryog Expo and India International Hospitality.
India Exposition Mart Limited IPO Objectives and Details
The size of the fresh issue is Rs. 4,500 million. The size of the Offer for Sale (OFS) is 1,12,10,659 equity shares. The face value of the shares is Rs. 5 per share. The offer will be made through the book-building process. 75% of the offer will be allocated to Qualified Institutional Investors while 15% will be allocated to Non-Institutional Bidders. 10% of the offer will be reserved for retail investors.
The main reason why India Exposition Mart is launching its IPO is because the company requires funds to expand its existing infrastructure. The company plans to build a guest house, high halls, and a multi-level car parking (MLCP) area. India Exposition Mart also plans to repay and prepay a certain portion of its outstanding borrowings with its IPO funds.
Furthermore, the company wants the enhancement of its visibility and brand recognition after listing on stock exchanges. Furthermore, India Exposition Mart expects the creation of a market for its equity shares after the listing.
Also Read: How To Apply For An IPO?
Strengths of India Exposition Mart Limited
Given below are the strengths of India Exposition Mart. Go through these points to have a better understanding of whether investing in this IPO suits your investment requirements or not:
- The company has a high brand recognition value and has maintained its financial performance consistently.
- The company has a strong track record of execution and good domain knowledge.
- An important strength of India Exposition Mart is that it’s well-connected to both the global and Indian exhibition ecosystems.
- The professionals working at this company are quite experienced. India Exposition Mart boasts of an independent and strong board of directors.
- The infrastructure and on-site amenities of India Exposition Mart are of international standards. The company can provide a diverse range of services required for arranging exhibitions.
Risks Involved
Don’t forget to check the risks below as it will help you understand whether your investment is in tune with your risk appetite or not:
- India Exposition Mart depends on certain exhibitions for a substantial portion of its revenue. If the company experiences a loss of business from its largest exhibition organisers, there might be a negative impact on the company’s overall reputation and profitability.
- The company may have to pay refunds in case of postponed or cancelled events. Its growth projections and order book may not be an accurate indicator of what the revenue might be from orders. Furthermore, it may not indicate the company’s future financial position, cash flows, or result of operations.
- The company needs permission from the Greater Noida Industrial Development Authority (GNIDA) to carry out certain activities concerning its premises. Note that India Exposition Mart’s exhibition facilities are located on premises controlled by GNIDA.
Summary
You may consider investing in India Exposition Mart Limited IPO if you are interested in investing in venue planners and providers in India. It’s located in Greater Noida and has filed its papers with market regulator SEBI to launch its IPO.
Before investing, you must take into account that India Exposition Mart has a high recognition value and has consistently delivered financially. As a result, investing in its IPO may be a lucrative opportunity for long-term gains.
Also Read: Benefits of Investing in IPO
India Exposition Mart Limited IPO FAQs
India Exposition Mart has only one Book-Running Lead Manager and its name is Emkay Global Financial Services.
Kfin Technologies Limited is the registrar of India Exposition Mart’s IPO. M Murali Krishna is the name of the contact person.
No, India Exposition Mart does not have any promoters. It is a professionally managed company.
The listing of the shares of India Exposition Mart on stock exchanges will take place within 10 working days from the last day of subscription of the IPO. The actual date is yet to be announced.
India Exposition Mart’s chairman’s name is Rakesh Kumar.
