DAM Capital Advisors Ltd: IPO Overview and Subscription Details – All You Need to Know
DAM Capital Advisors IPO is a book-built issue of Rs 840.25 crores. It is entirely an offer to sell 2.97 crore shares.
About DAM Capital Advisors Limited
DAM Capital Advisors Limited, founded on May 7, 1993, is a renowned investment bank in India. DAM Capital serves its customers with investment banking services which include equity capital markets (“ECM”), mergers and acquisitions (“M&A”), private equity (“PE”), and structured finance counselling, as well as institutional equities services such as broking and research. Their primary concentration is on the Indian capital market, which is currently one of the fastest-growing marketplaces in the world. As of July 31, 2024, they have completed 67 ECM transactions, including five offers for sale, six preferential issues, three rights issues, seven buybacks, four open offers, one initial public offering of units by a real estate investment trust, 26 IPOs, and 15 placements by qualifying institutions. Moreover, till July 31, 2024, DAM Capital Advisory has also advised on 20 advisory transactions including M&A advisory, private equity advisory and structured finance advisory, and has also executed block trades. On March 31, 2024, the revenue increased by 114% and profit after tax (PAT) increased by 713%.
IPO Subscription Period
- Open Date: December 19, 2024
- Close Date: December 23, 2024
- Allotment Date: December 24, 2024
- Listing Date: December 27, 2024
- Stock Exchanges: BSE and NSE
Pricing Details
- Price Band: ₹269 – ₹283 per Share
- Face Value: ₹2 per Share
- Minimum Lot Size: 53 shares
- Investment Requirement:
- Retail Investors: Minimum ₹14999 (53 shares)
- Small Non-Institutional Investors (sNII): 14 lots (742 shares) – ₹209986
- Big Non-Institutional Investors (bNII): 67 lots (3551 shares) – ₹1004933
Reservation Structure
- Qualified Institutional Buyers (QIB): 19.95% (5924182 shares)
- Non-Institutional Investors (NII): 14.96% (4443135 shares)
- Big NII (bNII): 10%
- Small NII (sNII): 5%
- Retail Investors: 34.92% (10367315 shares)
- Anchor Investors: 29.93% (8886268 shares)
Key Dates and Timeline
- IPO Open Date: December19, 2024
- IPO Close Date: December 23, 2024
- Basis of Allotment: December 24, 2024
- Initiation of Refunds: December 26, 2024
- Credit of Shares to Demat: December 26, 2024
- Listing Date: December 27, 2024
- Cut-off time for UPI mandate confirmation: 5 PM on December 23, 2024
Book Running Lead Managers
DAM Capital Advisors Limited has appointed prominent financial institutions as book-running lead managers for the IPO:
- Nuvama Wealth Management Limited
Link Intime India Private Limited has been designated as the registrar for the IPO.
Promoter Information
- Promoter: The promoters of the company are Dharmesh Anil Mehta, Sonali Dharmesh Mehta and Boombucket Advisors Private Limited.
- Shareholding:
- Pre-Issue: 45.88%
- Post-Issue: 39.89%
Financial Highlights
- Revenue: In FY22 revenue was ₹94.51 crores, in FY23 it was ₹85.04 crores and in FY24 it is ₹182 crores.
- Profit after Tax (PAT): PAT has increased year on year, FY23 ₹8.67 crores to in FY24 ₹70.52 crores.
- Net Worth: ₹162 crores
- Total Borrowing: ₹4.93 crores
Key Performance Indicators (KPIs):
- ROE: 54.72%
- RoNW: 44.98%
- P/BV: 12.76
- EPS (Pre-IPO): ₹9.98
- EPS (Post-IPO): ₹9.98
- P/E Ratio (Pre-IPO): 28.37x
- P/E Ratio (Post-IPO): 28.4x
IPO Objectives
- The company will not receive any proceeds of the Offer for Sale by the Selling Shareholders.
Subscription Status (As of December 20, 2024)
- Retail: 5.11x
- QIB: 0.01x
- NII: 5.32x
- Overall Subscription: 3.71x
Recommendation
DAM Capital Advisors Ltd. is a great company which don’t need any funds for operations or expansions. It has enough cash reserves to pay the minimal debt on the balance sheet. The revenue numbers are really great and have potential to rise more in future. Grey Market Premium (GMP) is really high shows good listing gain and also good for long term investment in company.