Identixweb Limited, an IT firm, specializes in providing Software as a Service (SaaS) solutions for digital product development. The company offers various services, including e-commerce store development, web app development, UI/UX design, website development, customized software development, and maintenance services, with a focus on Shopify application development.

IPO Overview

Identixweb’s initial public offering (IPO) is a book-built issue amounting to ₹16.63 crores, which consists entirely of a fresh issue of 30.80 lakh shares. The IPO subscription period for Identixweb begins on March 26, 2025, and closes on March 28, 2025. The allotment will be finalized on or about April 1, 2025, with the tentative listing date on the BSE SME scheduled for April 3, 2025.

IPO Details

The price band for the Identixweb IPO is set between ₹51 and ₹54 per equity share. At the upper end of the price band, the market capitalization of Identixweb will be ₹56.38 crores. The lot size for the IPO is 2,000 shares, meaning retail investors will need to invest a minimum of ₹1,08,000, while high-net-worth individuals (HNIs) must invest in a minimum of 2 lots (4,000 shares), amounting to ₹2,16,000.

Beeline Capital Advisors Private Limited is the book-running lead manager for this IPO, while Skyline Financial Services Private Limited is the registrar, and Spread X Securities Private Limited is the market maker for the issue.

Grey Market Premium (GMP)

As of the latest update, the Grey Market Premium (GMP) for Identixweb Limited IPO is ₹0. This indicates no expected listing gains in the grey market, and investors are advised to approach the market with caution. The GMP is based on demand and supply dynamics in the unorganized market, which may not reflect the actual listing price.

IPO Subscription Status

The live subscription status of the Identixweb IPO, as of March 28, 2025, shows that the issue has been subscribed 24.40 times on its final day of subscription. This high level of subscription suggests strong investor interest.

IPO Anchor Investors

Identixweb has raised ₹4.73 crores from anchor investors by allocating 8.76 lakh shares at ₹54 per share. The shares were allocated from the Qualified Institutional Buyers (QIBs) portion, reflecting confidence from institutional investors.

Allotment Date

The IPO allotment for Identixweb is scheduled for April 1, 2025. Investors can check the status of their allotment by visiting the registrar’s website. The process to check the allotment status is straightforward:

1. Go to the IPO allotment status page.

2. Select Identixweb Limited IPO from the dropdown.

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

4. Submit the details to view your allotment status.

Objectives of the IPO

Identixweb plans to utilize the net proceeds from the IPO for the following purposes:

• ₹250 lakhs for investment in marketing to support the company’s growth plans both within India and internationally.

• ₹420 lakhs for market research and product development through talent hiring.

• ₹415.80 lakhs for investment in its subsidiary, Munim ERP Private Limited, for product development.

• General corporate purposes to further strengthen the company’s financial standing.

Financial Performance

Identixweb has demonstrated steady growth in its financial performance:

• Revenues from operations for the period ending September 30, 2024, were ₹626.57 lakh, up from ₹478.73 lakh in FY 2023.

• EBITDA for the same period showed an increase to ₹219.55 lakh from ₹306.39 lakh in FY 2023.

• The Profit After Tax (PAT) for FY 2024 was ₹134.67 lakh, up from ₹195.98 lakh in FY 2023.

These figures indicate the company's strong and consistent performance in a competitive market.

Valuation & Key Metrics

• Pre-issue EPS: ₹3.76

• Post-issue EPS: ₹2.65

• Pre-issue P/E ratio: 14.36x

• Post-issue P/E ratio: 20.37x

• ROCE: 57.25%

• ROE: 37.70%

• RoNW: 27.39%

Based on the latest financial data, the company’s annualized EPS stands at ₹5.44, with a PE ratio of 9.92x. While the IPO is fairly priced, the higher post-issue P/E ratio could indicate a relatively expensive valuation.

IPO Review & Recommendation

Given the company’s consistent revenue growth and strong market presence, Identixweb's IPO appears to be fairly priced, but investors are advised to avoid the issue for short-term listing gains, given the lack of expected gains in the grey market. For long-term investments, careful consideration of the company’s growth prospects and market conditions is recommended.

This concludes the detailed review of the Identixweb IPO, providing insights into its performance, pricing, and investment potential.

The Current active IPO are Aten Papers & Foam Limited, Infonative Solutions Limited,Spinaroo Commercial Limited,Retaggio Industries Limited.

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