Radiant Cash Management IPO will open for subscription from 23 December 2023. the company aims for an issue size of ₹387.94 Cr through this IPO.
Radiant Cash Management Services Limited
The company is an integrated cash logistics player with a leading presence in the retail cash management (RCM) segment of the cash management services industry in India and is one of the largest players in the RCM segment in terms of network locations or touch points served as of 31 July 2021. It provides services across 12,150 pin codes in India covering all districts (other than Lakshadweep) with about 42,420 touchpoints serving more than 4,700 locations as of 31 July 2021.
Its clients include some of the largest foreign, private, and public sector banks, as well as e-commerce FY 2021, its total annual currency movement, or the total value of the currency passing through its RCM business, amounted to INR 912.22 billion. In fiscal 2020, it had the highest EBITDA margin, ROCE, and ROE amongst organized players in the cash management services segment.
The company operates its business across five verticals, namely 1) cash pick-up and delivery; 2) network currency management (also known as cash burial in industry parlance); 3) cash processing; 4) cash vans /cash in transit and 5) other value-added services.
Basic details about the company
| Full name | Radiant Cash Management Services Limited |
| Sector | Finance |
| Industry | Finance – Investment |
| Company Website | https://radiantcashservices.com/ |
The objective of the Issue
- Funding working capital requirements.
- Funding of capital expenditure requirements for the purchase of specially fabricated armored vans.
- General corporate purposes.
Major Competitive strengths
- The company is one of the largest players in the RCM segment in terms of network locations or touch points served as of March 31, 2022.
- Experienced management team.
- market leader in retail cash management services for banks, financial institutions, and organized retail and e-commerce companies in India.
- Radiant Cash Management Services provide services across 13,044 pin codes in India covering all districts (other than Lakshadweep) with about 55,513 touchpoints serving more than 5,388 locations as of July 31, 2022.
IPO Timetable
| IPO Opening date | 23 December 2022 |
| IPO Closing | 27 December 2022 |
| Basis of Allotment | 30 December 2022 |
| Initiation Refund | 02 January 2023 |
| Credit to Demat Account | 03 January 2023 |
| Listing Date | 04 January 2023 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹387.94 Cr – 39,185,606 shares |
| Fresh Issue | ₹60 Cr – 6,060,606 shares |
| Offer for sale | ₹327.94 Cr – 33,125,000 shares |
| Face value | ₹1 per share |
| Price Band | ₹94 to ₹99 per share |
| Lot size | 150 Shares |
| Retail Allocation | 35% |
| Listing Exchange | BSE & NSE |
IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 150 | ₹14,850 |
| Retail (Max) | 13 | 1950 | ₹193,050 |
| S-HNI (Min) | 14 | 2,100 | ₹207,900 |
| B-HNI (Min) | 68 | 10,200 | ₹1,009,800 |
Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
Financial Performance
| FY 2019 | FY 2020 | FY 2021 | FY 2022 | |
| Revenue | 220.92 | 248.27 | 221.67 | 286.04 |
| Expenses | 186.66 | 201.52 | 179.11 | 234.92 |
| Net income | 25.01 | 36.50 | 32.43 | 38.21 |
| Margin (%) | 11.32 | 14.70 | 14.63 | 13.36 |
Valuations & Margins
| FY 2019 | FY 2020 | FY 2021 | FY 2022 | |
| EPS | 2.47 | 3.60 | 3.20 | 3.77 |
| PE ratio | – | – | – | 24.93 – 26.26 |
| RONW (%) | 23.66 | 30.53 | 25.52 | 27.34 |
| NAV | – | – | 12.55 | 13.80 |
| ROCE (%) | 23.66 | 37.91 | 33.33 | 33.07 |
| EBITDA (%) | 18.46 | 22.15 | 22.20 | 20.73 |
| Debt/Equity | 0.17 | 0.18 | 0.11 | 0.21 |
Company Promoters
- Col. David Devasahayam
- Dr Renuka David
Promoter Holding
| Pre Issue Share Holding | 66.39% |
| Post Issue Share Holding | % |
Lead Manager(s)
- IIFL Securities Ltd
- Motilal Oswal Investment Advisors Pvt Ltd
- YES Bank Limited
IPO Registrar
Link Intime India Private Limited
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli West
Mumbai – 400 083, Maharashtra
Phone: +91 22 4918 6200
Email: radiant.ipo@linkintime.co.in
Website: www.linkintime.co.in
Contact Details
RADIANT CASH MANAGEMENT
Radiant Building, 4/3 Raju Nagar,
First Street, Okkiyam Thoraipakkam,
Old Mahabalipuram Road,
Chennai 600 096, Tamil Nadu
Phone: +91 044 4904 4904
Email: jayabharathi@radiantcashlogistics.com
Website: www.radiantcashservices.com
Allotment Status
Radiant Cash IPO allotment will be available on Link Intime’s website. Click on Link Intime IPO weblink to get allotment status.
Final thoughts
Radiant Cash Management IPO is going to hit Dalal street soon. applying for IPO is purely a personal choice. study well about the company and do subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
