Sodhani Academy of Fintech Enablers Limited specializes in training, consultancy, and learning services, with a primary focus on financial literacy and awareness. The academy aims to provide individuals with the knowledge and skills necessary to make informed financial decisions. As part of its mission, Sodhani Academy addresses a broad range of topics within the financial literacy domain, equipping learners with tools to manage personal finance, understand investments, and navigate financial markets.

IPO Overview

The Sodhani Academy of Fintech Enablers IPO is a Fixed Price Issue amounting to ₹6.12 Crores. It consists of a Fresh Issue of 9.7 lakh shares valued at ₹3.88 Crores and an Offer for Sale (OFS) of 5.6 lakh shares worth ₹2.24 Crores. The subscription period spans from September 12, 2024, to September 17, 2024, with the allotment set to be finalized by September 18, 2024. The shares are expected to be listed on the BSE SME on September 20, 2024.

The IPO price is set at ₹40 per share, with a minimum lot size of 3,000 shares. Retail investors need to invest a minimum of ₹120,000, while High-Net-Worth Individuals (HNIs) will require 2 lots (6,000 shares) for a minimum investment of ₹240,000.

Srujan Alpha Capital Advisors LLP serves as the book-running lead manager, Cameo Corporate Services Limited as the registrar, and Prabhat Financial Services Limited as the sole Market Maker.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for Sodhani Academy of Fintech Enablers stands at ₹14-16. This reflects potential listing gains, but it’s crucial to note that GMP is speculative and based on unregulated market activity. There is no real price discovery until the shares are listed, and investors should treat GMP as educational information rather than a firm indication of future performance.

Live Subscription Status

As of 03:48 PM on September 16, 2024, the Sodhani Academy of Fintech Enablers IPO has been subscribed 40.40 times on its third day, reflecting strong interest among investors. The live subscription status can be checked at the BSE SME website for real-time updates.

Allotment Status

The allotment for the Sodhani Academy of Fintech Enablers IPO will be finalized on September 18, 2024. Investors can check their allotment status by:

Visiting the IPO allotment status page.

Selecting Sodhani Academy of Fintech Enablers IPO from the dropdown.

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

Submitting the details to verify their allotment status.

Objectives of the IPO

Proceeds from the Fresh Issue will be used for the following purposes:

₹80.00 Lakhs for the development of a content studio and offline training infrastructure.

₹60.00 Lakhs for Information Technology (hardware and software).

₹50.00 Lakhs for the development of course material.

₹35.00 Lakhs for brand visibility and awareness.

₹10.00 Lakhs for Learning Management System (LMS) application development.

₹75.00 Lakhs for general corporate purposes.

Company Overview and Financial Performance

Sodhani Academy of Fintech Enablers focuses on the development of financial literacy, helping individuals and organizations navigate the complex world of personal finance, investment, and fintech innovation. Through training programs and consultancy services, the academy has become a trusted name in the field of financial education.

From a financial perspective, the company has demonstrated steady growth:

Revenue increased from ₹188.19 Lakhs in FY22 to ₹203.45 Lakhs in FY23, and currently stands at ₹306.95 Lakhs in FY24.

EBITDA remained stable, increasing slightly from ₹173.40 Lakhs in FY22 to ₹241.27 Lakhs in FY24.

Profit After Tax (PAT) grew from ₹123.91 Lakhs in FY22 to ₹183.17 Lakhs in FY24.

For this IPO, Sodhani Academy is issuing shares with a pre-issue EPS of ₹3.88 and a post-issue EPS of ₹3.21. The pre-issue P/E ratio is 10.30x, while the post-issue P/E ratio is 12.46x. The company's ROCE stands at 36.77%, and RoAE at 32.33%, indicating solid returns on capital and equity.

Review and Recommendation

With a GMP suggesting listing gains of 35-40%, and strong investor interest as evidenced by the high subscription rates, this IPO may offer a favorable opportunity for risk-tolerant investors. However, as with all investments, the Sodhani Academy IPO carries risks, and its long-term prospects should be evaluated carefully.

While the company's financial performance has been steady, with rising revenue and profitability, potential investors should assess their risk appetite and consider their investment timeline. Given the company's role in financial literacy, it may appeal to those with a longer-term interest in the fintech education space.

For further updates on similar issues and investment opportunities, explore the Best IPO to Apply Now - IPO List 2024, Latest IPO, Upcoming IPO, Recent IPO News, Live IPO GMP Today - Finance Saathi and stay informed with the Top News Headlines - Share Market News, Latest IPO News, Business News, Economy News- Finance Saathi.

Join our Trading with CA Abhay Telegram Channel for stock market trading insights and the Finance Saathi Telegram Channel for regular updates on share markets and IPOs.

Start your stock market journey by opening a free demat account with Choice Broking FinX.