May 22, 2023
By: bhakti.makwana@timesinternet.in
Credit: Crayons Advertising
Advertising agency Crayons Advertising opens its initial public offering (IPO) today on May 22, which will be live till May 25, 2023. The price band of the IPO is set at ₹62-65 per share.
Credit: BCCL
The company’s ₹41.79-crore IPO is a complete fresh issue of 64.30 lakh shares, with no offer for sale (OFS) component.
Credit: BCCL
The company plans to invest in setting up its own film and animation studios and enhance its existing foundation of Web3 capabilities to offer more dynamic Metaverse solutions, including AR, VR and other emerging immersive tech. It also intends to acquire talent from the international market.
Credit: Crayons Advertising
The IPO funds will be utilised towards funding of working capital requirements and capital expenditure on infrastructure and cutting-edge technology for expansion.
Credit: Canva
The company recently announced that it won marquee mandates, including Tata Sons, National Skill Development Corporation, Indian Oil Corporation, Tata Croma and Bank of Baroda.
Credit: Canva
As part of its expansion plans, it plans to tap the international advertising markets through strategic tie-ups with independent agencies and acquisitions to help tap the Indian diaspora in countries like the Middle East, the US and the UK.
Credit: Canva
Crayons Advertising net profit has surged to ₹1.6 crore in FY22 from ₹12.9 lakh in FY21 while revenue surged ₹194 crore in FY22 from ₹106 crore in the previous year.
Credit: Canva
The shares of the company are currently commanding a grey market premium (GMP) of ₹35 per share. GMP is the premium at which IPO shares are traded in an unofficial market before they are listed on the stock exchanges.
Credit: Canva
The company’s shares are scheduled to be allotted on May 30 and listed on the NSE’s SME platform on June 2.
Credit: Canva