New IPOs are hitting the market almost every day, and here’s another one to keep an eye on! Rikhav Securities Limited is launching its IPO, which will open on January 15, 2025, and close on January 17, 2025.
Each share has a face value of ₹5, and the price is set between ₹82 and ₹86. To invest, you’ll need to buy at least 1,600 shares in a lot. This is a book-built issue, which means the price will be decided based on demand.
The company aims to raise ₹88.82 crores through this IPO. Of this, ₹71.62 crores will come from new shares (fresh issue), offering 8,328,000 shares. The remaining ₹17.20 crores will come from selling existing shares (offer for sale). They’ve also allocated 524,800 shares for market makers.
Important Highlights of the Issue
| Category | Detail | Information |
|---|---|---|
| Key Dates | IPO Date | 15 January, 2025 to 17 January, 2025 |
| Pricing Information | Face Value | ₹5 per share |
| Price Band | ₹82 to ₹86 per share | |
| Investor Details | Lot Size | 1,600 Shares |
| Issue Type | Book Built Issue IPO | |
| Offer Structure | Total Issue Size | 1,03,28,000 shares worth ₹88.82 Cr |
| Fresh Issue | 83,28,000 shares worth ₹71.62 Cr | |
| Offer for Sale | 20,00,000 shares worth ₹17.20 Cr | |
| Market Maker Portion | Market Maker Portion | 5,24,800 shares |
Key Dates to Remember
15 January, 2025 (Wednesday)
17 January, 2025 (Friday)
20 January, 2025 (Monday)
21 January, 2025 (Tuesday)
21 January, 2025 (Tuesday)
22 January, 2025 (Wednesday)
What is GMP of Rikhav Securities Ltd Public Offer today?
As of January 10, 2025, the Grey Market Premium (GMP) for the Rikhav Securities Ltd offer is ₹*. This indicates that the shares are expected to list at approximately ₹* per share.
Note: GMP is an unofficial indicator and is based on market speculation; it does not guarantee actual listing performance.
Company Financials
| Particulars | 30 Sep 2024 (₹ Lakhs) | FY 2024 (₹ Lakhs) | FY 2023 (₹ Lakhs) | FY 2022 (₹ Lakhs) |
|---|---|---|---|---|
| Assets | 33,791.49 | 30,206.82 | 18,772.01 | 18,070.69 |
| Revenue | 9,615.83 | 11,134.26 | 5,452.43 | 4,298.31 |
| Total Expenses | 3,323.81 | 5,897.60 | 2,990.26 | 2,085.99 |
| Profit After Tax | 5,037.32 | 4,264.63 | 1,910.27 | 1,762.47 |
| Net Worth | 18,845.06 | 13,807.74 | 9,496.21 | 7,585.94 |
| Reserves and Surplus | 17,346.86 | 12,309.54 | 7,998.01 | 7,086.54 |
Let’s take a closer look at the company’s financial data. There’s a noticeable growth in the company’s assets over the years. Back in FY 2022, the total assets stood at ₹18,076.69 lakh. Fast forward to FY 2024, they’ve grown significantly to ₹30,206.82 lakh. Impressive, right?
The same goes for the company’s revenue. It has seen a fantastic rise over time. In FY 2022, the revenue was ₹4,298.31 lakh. By FY 2024, it jumped to ₹11,134.26 lakh. That’s quite a leap!
Now, let’s talk about expenses. Total expenses have increased too, almost in the same ratio. In FY 2022, the total expenses were ₹2,085.99 lakh, and by FY 2024, they reached ₹5,877.68 lakh.
But here’s the best part: the company’s Profit After Tax (PAT) has grown tremendously. In FY 2022, the profit was ₹1,762.47 lakh. By FY 2024, it shot up to ₹4,264.63 lakh. That’s an outstanding improvement!
Not just that, the company’s reserves and surplus are also in great shape. In FY 2022, these were at ₹7,086.54 lakh, and by FY 2024, they increased to ₹12,309.54 lakh.
All in all, when you look at these numbers, there’s nothing negative that stands out. The company’s financial performance is definitely on a strong ground.
Company's Key Performance Indicator
| Key Performance Indicator | Value |
|---|---|
| Return on Equity (ROE) | 36.60% |
| Return on Capital Employed (ROCE) | 29.48% |
| Return on Net Worth (RoNW) | 30.89% |
| PAT Margin | 40.94 |
| Price to Book Value | 1.87 |
| EBITDA Margin | 46.32% |
| Net Asset Value (NAV) | 11.53 ₹ |
| Debt/Equity | 0.35 |
Net Cash Flow Generated
| Particulars | Period Ended Sep 30, 2024 (₹ Lakhs) | FY 2024 (₹ Lakhs) | FY 2023 (₹ Lakhs) | FY 2022 (₹ Lakhs) |
|---|---|---|---|---|
| Net Cash from Operating Activities | 2,329.79 | 4,693.63 | -886.61 | -3,664.22 |
| Net Cash from Investing Activities | -1,309.90 | -6,833.98 | 79.81 | 7,626.90 |
| Net Cash from Financing Activities | -2,484.84 | 3,566.01 | -844.00 | -1,768.03 |
Lot Size and Application Amount
| Application | Lots | Shares | Amount (₹) |
|---|---|---|---|
| Retail Investor (Minimum) | 1 | 1,600 | ₹1,37,600 |
| Retail Investor (Maximum) | 1 | 1,600 | ₹1,37,600 |
| HNI Investor (Minimum) | 2 | 3,200 | ₹2,75,200 |
Investor Category-Wise Reservation
| Investor Category | Shares Reserved |
|---|---|
| Shares Reserved for QIB Category | 50% of the Net Issue |
| Shares Reserved for Retail Category | 35% of the Net Issue |
| Shares Reserved for Non-Institutional Category | 15% of the Net Issue |
Segment-wise Revenue Analysis
| Particulars | Sep 30, 2024 (₹ Lakhs) | FY 2024 (₹ Lakhs) | FY 2023 (₹ Lakhs) | FY 2022 (₹ Lakhs) |
|---|---|---|---|---|
| Brokerage & Commission Fees | 387.61 | 781.21 | 707.08 | 618.61 |
| Market Making Annual Fees | 44.30 | 71.75 | 41.26 | 15.71 |
| Demat Operation | 32.30 | 31.79 | 26.55 | 53.49 |
| Revenue from Trading Income | 6,460.98 | 5,194.87 | 3,582.67 | 1,536.89 |
| F&O and Currency Trading Income | 2,341.41 | 4,279.39 | 441.78 | 1,249.18 |
| Others | 32.86 | 45.63 | 56.88 | 53.09 |
| Total | 9,299.46 | 10,404.64 | 4,856.21 | 3,526.96 |
Peer Comparison: EPS, PE Ratio, and Face Value
| Company Name | EPS Basic (₹) | P/E Ratio | Face Value (₹) |
|---|---|---|---|
| Rikhav Securities Limited | 14.23 | * | 5 |
| Alacrity Securities Limited | 5.43 | 29.09 | 10 |
| Angel One Limited | 134.21 | 20.57 | 10 |
| Share India Securities Limited | 25.41 | 11.99 | 2 |
| Pune E – Stock Broking Limited | 11.04 | 16.68 | 10 |
Key Objectives of the Issue
The fund raised through this issue will be utilized for the following purposes.
- Funding capital expenditure for IT software, computers, and laptops.
- Working Capital Requirements.
- General Corporate Purposes.
Conclusion:
In my opinion, there’s nothing wrong with applying for this company’s IPO. The company’s financial data looks solid, and they seem capable of generating healthy cash flow. However, before applying, I think it’s important to carefully understand all the aspects involved. I would strongly recommend reading and understanding the DRHP and RHP of this IPO thoroughly. Also, don’t forget to consult your financial advisor before making any investment decisions.
- When does the Rikhav Securities Limited Issue open and close?
The IPO opens on 15 January, 2025 (Wednesday) and closes on 17 January, 2025 (Friday). - What is the face value of each share in this Issue?
The face value of each share is ₹5. - What is the price band for the Rikhav Securities Limited Public Offer?
The price band is ₹82 to ₹86 per share. - What is the minimum lot size for retail investors?
Retail investors can bid for a minimum lot size of 1,600 shares. - What is the total issue size of the Rikhav Securities Limited Public Offering?
The total issue size is 1,03,28,000 shares, amounting up to ₹88.82 Cr. - What type of issue is the Rikhav Securities Limited?
It is a Book Built Issue IPO. - Where will the shares of Rikhav Securities Limited be listed?
The shares will be listed on BSE SME. - What are the main objectives of the Rikhav Securities Limited Public Offer?
The funds raised will be utilized for: funding capital expenditure for IT software, computers, and laptops and General corporate purposes. - Who is the registrar for this Issue?
The registrar is Link Intime India Private Limited. - Who is the lead manager for this Issue?
The lead manager is Smart Horizon Capital Advisors Private Limited. - What is the market maker portion for this Issue?
The market maker portion is 5,24,800 shares.
Frequently Asked Questions
It is always beneficial to read Draft Red Herring Prospectus (DRHP) and Red Herring Prospectus (RHP) carefully to better understand its financials and growth opportunities before making a decision.
Looking for more such reviews? Check out our IPO Dashboard for recent posts on other Main-board IPO & SME IPOs for the latest market updates.
Note: This article is based on the information received from the company’s official documents, including the Draft Red Herring Prospectus (DRHP) and Red Herring Prospectus (RHP). For up-to-date information on the Grey Market Premium (GMP) for the Rikhav Securities Ltd Public Offer, you may please check our Current GMP, where we will post the latest figures as soon as they are available.
Disclaimer: This article is for educational purposes only. We do not offer any advice on buying or selling securities. Please consult your financial advisor before investing in an public offering or any other securities to make sure that it suits your financial plans and risk tolerance.
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