Chetana Education Ltd. IPO Opens; Check Price Band And Day 1 Subscription Status

Chetana Education Limited launched its Initial Public Offering (IPO) with a book built issue size of Rs. 45.90 crores. The IPO comprises an entirely fresh issue of 54 lakh shares.

The Chetana Education IPO subscription commenced on July 24, 2024, and will conclude on July 26, 2024. The allotment for the IPO is expected to be finalised by Monday, July 29, 2024. Chetana Education IPO is slated to list on the NSE SME platform with a tentative listing date of Wednesday, July 31, 2024.

Investors keen on participating in the Chetana Education IPO should note the price band set at Rs. 80 to Rs. 85 per share, with a minimum application size of 1600 shares requiring an investment of Rs. 136,000 for retail investors. High Net Worth Individuals (HNIs) are required to apply for a minimum of 2 lots (3,200 shares), totalling Rs. 272,000.

Of the 5,400,000 shares, 18.99% is reserved for Qualified Institutions (QIB), 14.25% for Non-institutional investors (NII), 33.24% for retail investors and 28.44% for anchor investors.

Hem Securities Limited serves as the book-running lead manager for the Chetana Education IPO, with Link Intime India Private Ltd appointed as the registrar. Hem Finlease will act as the market maker for the IPO.

The IPO has been subscribed 1.58 times as of 01:54 p.m. on Wednesday.

• Anchor investors: 1 time

• Non-institutional investors: 0.36 times

• Retail investors: 1.26 times

• Qualified Institutions: 3.05 times

Established in 2017, Chetana Education Limited specialises in publishing textbooks tailored for CBSE/State Board curricula for K-12 education. The company also develops educational software featuring QR code-enabled educational videos for teachers and students.

Chetana Education caters primarily to the Maharashtra State Board and CBSE, offering textbooks from pre-primary to K-12 levels. The company collaborates with over 400 contract authors to develop content, encompassing a portfolio of 700 titles across brands like Master Key, Self-Study, and Firefly.

The proceeds from the IPO will be utilised as follows:

- Repayment of certain borrowings.

- Meeting working capital requirements.

- General corporate purposes.

In the restated standalone financials, Chetana Education Limited reported a 23.89% increase in revenue and a notable 75.57% rise in profit after tax (PAT) between the fiscal years ending March 31, 2024, and March 31, 2023.