Unified Data-Tech Solutions Limited (Udtechs) is launching its Initial Public Offering (IPO) on the NSE SME platform from May 22, 2025, to May 26, 2025. The IPO is a pure offer for sale amounting to ₹144.47 crore, consisting of 52.92 lakh equity shares.

There is no fresh issue component, and all proceeds will go to the selling shareholders. The price band for the IPO is fixed at ₹260 to ₹273 per share, and the minimum lot size is 400 shares. For retail investors, the minimum investment required is ₹1,09,200, while HNIs must apply for at least 800 shares, which amounts to ₹2,18,400.

The IPO is being managed by Hem Securities Limited as the Book Running Lead Manager, and KFin Technologies Limited is acting as the registrar. Hem Finlease Private Limited is the market maker for this IPO.

The tentative allotment date is May 27, 2025, and the expected listing date is May 29, 2025.

Company Overview

Unified Data-Tech Solutions, founded in 2010, offers a wide range of IT infrastructure and system integration services, catering to diverse business needs. The company focuses on transforming IT into a catalyst for business growth by offering tailored solutions in:

• IT Infrastructure Design and Management

• System Integration and Support

• Enterprise Networking and Cloud Services

• Cybersecurity Solutions

The company is led by Mr Hiren Rajendra Mehta, the Chairman and Managing Director, with 27 years of experience in IT infrastructure services. He has been instrumental in strategy formulation and business execution. Alongside him, Mr Rajendra Kantilal Mehta, with over 35 years of experience, plays a key role in customer relations and CSR initiatives.

Financial Performance

Unified Data-Tech Solutions has shown strong revenue growth and consistent profitability, as indicated by the following key financial metrics:

Revenue from Operations:

• FY2022: ₹9,549.60 lakh

• FY2023: ₹11,281.31 lakh

• FY2024: ₹26,680.30 lakh

• 9 months ending Dec 2024: ₹20,366.27 lakh

EBITDA:

• FY2022: ₹1,334.11 lakh

• FY2023: ₹1,479.55 lakh

• FY2024: ₹3,429.05 lakh

• 9 months ending Dec 2024: ₹4,224.42 lakh

Profit After Tax (PAT):

• FY2022: ₹970.88 lakh

• FY2023: ₹1,040.09 lakh

• FY2024: ₹2,512.59 lakh

• 9 months ending Dec 2024: ₹3,168.31 lakh

This performance indicates a strong upward trend in operating margins, EBITDA, and net profitability.

Valuation Metrics

At the upper end of the price band (₹273), the IPO offers the following financial ratios:

• Pre-issue EPS (FY24): ₹12.51

• Post-issue EPS (FY24): ₹12.51

• Annualised EPS (based on Dec 2024 data): ₹17.20

• Pre and Post-issue P/E (FY24): 21.82x

• Annualised P/E (Dec 2024): 15.86x

• Industry P/E: 36x

• ROCE (FY24): 52.55 percent

• ROE (FY24): 48.81 percent

• RoNW (FY24): 39.23 percent

These metrics show that Unified Data-Tech is relatively undervalued compared to its peers in the IT infrastructure and tech service sectors.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for Unified Data-Tech Solutions IPO is currently around ₹40 per share, suggesting a potential listing gain of approximately 14.65 percent based on the upper price band.

It is important to note that GMP is unofficial, unregulated, and not a guarantee of listing price or returns. GMP is driven by market sentiment, unofficial demand, and supply trends, and should be used for informational purposes only.

IPO Timeline

Market Capitalisation

At the upper price band of ₹273 per share, the post-issue market capitalisation of Unified Data-Tech Solutions is expected to be ₹548.45 crore. This reflects a moderate valuation for a company operating in a high-growth IT service sector, with a strong track record of profitability and operating leverage.

Investment Recommendation

Based on the company's robust financials, consistent earnings growth, reasonable valuation multiples, and a moderate GMP, the Unified Data-Tech Solutions IPO is positioned to deliver listing gains, particularly for risk-tolerant investors.

While the SME listing brings liquidity limitations, the company's profit trajectory and capital efficiency metrics (ROCE and ROE) make it appealing to those seeking short-term IPO opportunities.

Recommendation:
Risk-taking investors may consider applying for listing gains. Conservative investors should wait and evaluate post-listing performance before making entry decisions.

The Upcoming IPOs in this week and coming weeks are Aegis Vopak Terminals, Schloss Bangalore, Astonea Labs, Nikita Papers, Prostarm Info Systems, Victory Electric Vehicles International, Blue Water Logistics, Unified Data - Tech Solutions, Wagons Learning.

The Current active IPO are Dar Credit and Capital, Belrise Industries, Borana Weaves.