Happy Square Outsourcing Services Limited, widely known through its job portal White Force, is preparing to launch its Initial Public Offering (IPO) aimed at funding future growth and improving operational liquidity. As a well-recognized name in the staffing and career services sector, Happy Square has positioned itself as a bridge between job seekers and job providers with its technology-driven solutions and employer engagement tools.

With more than 1 million registered users, White Force Jobs has evolved as a leading job board in India, offering real-time connectivity, recruitment support, and career assistance for professionals across career stages. Employers also benefit from smart recruitment tools that make the hiring process efficient and candidate-centric.

IPO Structure and Key Offer Details

The Happy Square Outsourcing Services IPO is a Book Built Issue worth ₹24.25 Crores, made up entirely of a Fresh Issue of 31.90 lakh equity shares. The company intends to utilize these funds for working capital requirements and general corporate purposes.

The IPO will open on July 3, 2025, and close on July 7, 2025. The basis of allotment is expected to be finalized on July 9, and the listing is tentatively scheduled for July 10, 2025, on the NSE SME platform.

The price band for the IPO is set between ₹72 and ₹76 per share, and the market capitalization at the upper price band will be approximately ₹88.16 Crores.

The lot size is 1,600 shares, meaning that retail investors will need to invest a minimum of ₹1,21,600, and HNIs must invest in at least 2 lots (3,200 shares), amounting to ₹2,43,200.

Lead Managers, Registrar & Market Maker

• Book Running Lead Manager: CORPWIS Advisors Private Limited

• Registrar to the Issue: Purva Sharegistry (India) Private Limited

• Market Maker: Giriraj Stock Broking Private Limited

Anchor Investor Participation

Ahead of the public issue, Happy Square Outsourcing Services raised ₹6.60 Crores from Anchor Investors at the upper price band of ₹76 per share. A total of 8,68,800 equity shares were allocated to anchor investors in consultation with the lead managers.

This move brings added visibility and institutional credibility to the IPO but does not guarantee post-listing performance.

GMP and Subscription Update

As of June 30, 2025, the Grey Market Premium (GMP) for Happy Square Outsourcing IPO remains ₹0, indicating no unofficial premium or speculative buzz around the issue in the grey market. Investors should remember that GMP is not a regulated indicator and does not ensure listing gains.

The IPO will open for subscription on July 3, and real-time subscription data will be available on the NSE SME portal throughout the bidding window.

Allotment Status: How to Check

To verify your allotment status post-IPO, follow these steps after July 9, 2025:

1. Visit the Registrar’s website – Purva Sharegistry (India) Pvt. Ltd.

2. Select Happy Square Outsourcing Services IPO from the dropdown list

3. Enter your application number, PAN, or DP Client ID

4. Click Submit to see your allotment result

Objectives of the IPO

The proceeds from the IPO will be allocated to the following purposes:

1. ₹19.00 Crores (₹1,900.00 Lakhs) for working capital requirements

2. The remaining portion will be used for general corporate purposes

This suggests that the entire IPO is growth-focused, aimed at expanding service delivery and operational footprint.

Company Overview and Promoter Background

Happy Square Outsourcing Services Limited operates through the brand White Force, catering to India's vast job market. Its career portal bridges the gap between recruiters and candidates using intuitive engagement tools, AI-driven job matching, and curated career content.

The company is promoted by Shraddha Rajpal and Nalini Rajpal, both having a combined industry experience of over 10 years. They have built a reputation for nurturing a value-driven staffing ecosystem, prioritizing efficiency, transparency, and tech integration in recruitment.

Financial Performance Snapshot

The company has shown a strong financial trajectory in the last three years:

Revenue from Operations:

• FY23: ₹5,280.11 Lakh

• FY24: ₹6,954.31 Lakh

• FY25: ₹9,768.35 Lakh

EBITDA:

• FY23: ₹294.13 Lakh

• FY24: ₹669.89 Lakh

• FY25: ₹958.25 Lakh

Profit After Tax (PAT):

• FY23: ₹178.78 Lakh

• FY24: ₹439.32 Lakh

• FY25: ₹590.34 Lakh

These figures show consistent top-line and bottom-line growth, reflecting scalability and improved operational efficiency.

Valuation Metrics and Ratios

The company's valuation appears moderate when viewed against industry benchmarks:

• Pre-Issue EPS (FY24): ₹7.02

• Post-Issue EPS (FY24): ₹5.09

• Pre-Issue P/E Ratio: 10.82x

• Post-Issue P/E Ratio: 14.93x

• Industry Average P/E: 40.00x

• ROCE: 57.75%

• ROE / RoNW: 61.97%

These high return ratios (ROCE and ROE) are positive indicators, suggesting that the business is capital efficient and earnings-accretive. However, the P/E ratio shows the IPO is fully priced, and there is little room for valuation expansion immediately post-listing.

IPO Review and Investment Recommendation

While Happy Square Outsourcing Services has demonstrated strong growth, solid promoter experience, and a business model aligned with India’s rising employment needs, the IPO does not currently exhibit any premium in the grey market (GMP ₹0).

Also, with a fully priced valuation, there is limited scope for short-term listing gains. The absence of substantial institutional buzz beyond anchor investors and the relatively high retail investment threshold also reduces accessibility for a broad retail base.

Therefore, for short-term investors or those seeking listing gains, we recommend avoiding this IPO. However, long-term investors who believe in the future of the staffing sector in India and are willing to hold through multiple business cycles could consider tracking the stock post-listing for potential entry opportunities.

Conclusion

The Happy Square Outsourcing IPO presents an opportunity to invest in a growing Indian HR-tech and recruitment services player. Its tech-enabled platform White Force, rising revenues, and robust return ratios make it a business worth monitoring. However, lack of grey market enthusiasm and full valuation lead us to suggest caution for short-term investors.

Disclaimer: This article is for informational purposes only. It does not constitute investment advice. Investors must consult certified financial advisors before making any investment decisions. The article is based on publicly available data as of the publication date and is subject to change.

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