Orient Technologies Limited is a well-established information technology (IT) solutions provider based in Mumbai, Maharashtra. Incorporated in 1997, the company has built significant expertise in developing specialized products and solutions across various business verticals. With over two decades of experience, Orient Technologies has positioned itself as a key player in the IT industry, offering a broad range of solutions to meet the evolving demands of the market.

The company is now launching its Initial Public Offering (IPO), presenting an exciting opportunity for investors. The subscription period for the Orient Technologies IPO is scheduled from August 21, 2024, to August 23, 2024.

IPO Details

The Orient Technologies IPO is a Book Built Issue totaling ₹214.75 crores, comprising a Fresh Issue of 5.82 lakh shares valued at ₹120.00 crores and an Offer for Sale of 4.6 lakh shares amounting to ₹94.76 crores. The share price band is set between ₹195 to ₹206 per equity share, with a minimum lot size of 72 shares. Retail investors must make a minimum investment of ₹14,832, while High-Net-Worth Individuals (HNIs) need to invest ₹207,648 for 1,008 shares. The allotment date is expected to be August 26, 2024, with the shares anticipated to list on the BSE and NSE by August 28, 2024.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for the Orient Technologies Limited IPO is projected to be between ₹100 and ₹105. This indicates potential listing gains of approximately 50%. However, it's essential to remember that GMP figures are speculative and can fluctuate based on market conditions. Investors should use GMP as a guideline and not as a definitive indicator of the IPO's performance.

Live Subscription Status

As of 4:13 PM on August 23, 2024, the Orient Technologies IPO had been subscribed 150.25 times, reflecting strong demand from investors. The live subscription status can be monitored on the BSE website.

Allotment Status

The allotment status for the IPO will be available on August 26, 2024. To check the status:

Visit the IPO allotment status page.

Select Orient Technologies Limited IPO from the dropdown list.

Enter the application number, PAN, or DP Client ID.

Submit the details to view the allotment status.

Company Overview

Orient Technologies Limited is helmed by experienced promoters, including Ajay Baliram Sawant, Umesh Navnitlal Shah, Ujwal Arvind Mhatre, and Jayesh Manharlal Shah, each bringing over 25 years of experience in the IT industry. Their collective expertise has driven the company’s growth and enabled it to deliver specialized IT solutions across various sectors.

Also Read : Ideal Technoplast IPO allotment out today. GMP, how to check allotment status

Financial Performance

Orient Technologies has demonstrated consistent financial performance, with revenue increasing from ₹4,691.23 million in FY22 to ₹6,068.64 million in FY24. The company's EBITDA also showed stability, rising from ₹458.25 million in FY22 to ₹566.18 million in FY24. Profit After Tax (PAT) increased from ₹334.93 million in FY22 to ₹414.80 million in FY24, reflecting the company’s strong financial health.

For the Orient Technologies IPO, the pre-issue EPS is ₹11.80, and the post-issue EPS is ₹9.95. The pre-issue P/E ratio is 17.45x, and the post-issue P/E ratio is 20.70x, compared to the industry P/E of 29.87x. The company's ROCE for FY24 is 32.5%, and ROE is 27.26%, indicating that the IPO is fairly priced and offers good value to investors.

Investment Recommendation

Given the company’s steady financial growth, reasonable valuation, and the anticipated Grey Market Premium (GMP) suggesting potential listing gains of around 50%, the Orient Technologies Limited IPO is a strong contender for investment. Investors are encouraged to apply for this IPO for both listing gains and long-term investment potential.

Conclusion

The Orient Technologies Limited IPO presents a compelling opportunity for investors seeking to capitalize on the growth of a well-established IT solutions provider. With a robust financial track record, experienced leadership, and a favorable pricing structure, this IPO is an attractive option for both short-term and long-term investors. Investors should carefully consider their investment goals and risk appetite when deciding to participate in this IPO.

Also Read : QVC Exports IPO: Allotment Finalised, Listing Today; GMP Hints Bumper Listing

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst & Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX & Upstox.