BVG India Limited is among India’s leading integrated services organisations (Source: F&S Report) with over 54,000 workers as of June 30, 2021. BVG India IPO will hit the market in January 2021.
Table of Contents
About BVG India
They are India’s first firm to be awarded contracts for emergency police response services. They are one of the few organisations in India that also provides services to religious organisations.
They serviced over 624, 590, and 582 customers in Fiscal 2019, 2020, and 2021, respectively, while they served over 490 customers in more than 100 cities throughout 20 Indian states and five union territories in the three months ending June 30, 2021.
In Fiscal 2021, they held a 6.4 percent market share in the integrated facilities management services market in India (Source: F&S Report), and their revenue from operations was 18,182.14 million, 19,301.17 million, and 16,677.22 million, respectively.
Services
They offer Soft services include automated housekeeping, industrial housekeeping, labour supply, security services, and janitorial services.
Whereas hard services include electro-mechanical works and highway maintenance and specialised services include paint-shop cleaning and logistics management.
In addition, they offer beach development and cleaning services, as well as bus operation and maintenance, including electric buses.
They provide these services to a wide range of customers in a variety of industries, including the manufacturing and consumer goods industry, transportation and transit infrastructure, hospitals and healthcare, and government agencies.
Clients
These clients received almost 20 different types of services from their integrated services business.
Bajaj Auto Limited, Bosch Limited, Fiat India Automobiles Private Limited, Hi-Can Industries Private Limited, Patanjali Yogpeeth, UPL Limited, Hindustan Aeronautics Limited, and a leading Indian automobile manufacturer are among the key clients they have served through our integrated services business.
Their clients in the transportation & transit infrastructure sector include Chennai Metro Rail Limited, highway & transport authorities, and they’ve worked at numerous airports around the country, while their clients in the hospitals & healthcare sector include government hospitals.
BVG India IPO
BVG India Limited , headquartered in Pune has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 200 crores and 1,698,458 Equity Shares on 30 September 2021.
The offer includes 200 crores value fresh equity shares and there is an offer for sale (OFS) of 1,698,458 Equity Shares by the promoters mentioned in the DRHP. They are also looking for pre-IPO placement of 40 crores.
They are now waiting for approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |||
| Total Assets | 1,912.75 | 1,898.76 | 1,741.82 | ||
| Total Revenue | 1,674.58 | 1,940.43 | 1,829.84 | ||
| Profit After Tax | 86.10 | 122.50 | 84.52 | ||
Basic and Diluted Earnings Per Share
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2021 | 33.16 | 32.31 | 3 |
| Financial Year 2020 | 47.19 | 45.98 | 2 |
| Financial Year 2019 | 32.55 | 31.72 | 1 |
| Weighted Average | 37.74 | 36.77 |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Basis of the offer
They think the following are among the qualitative elements and significant strengths that will be used to calculate the Offer Price:
- One of India’s leading integrated service providers.
- Clientele with a wide range of experience and long-term ties.
- A broad range of services across a variety of industries.
- A unique company strategy with a solid financial track record.
- Service delivery that is focused on quality.
- Experienced Promoters backed up by a committed management team and workforce.
BVG India IPO Peer Comparison
| S. No. | Face Value | Company Name | PE |
| 1 | 5 | SIS Limited | 19.23 |
| 2 | 10 | Quess Corp Limited | 247.97 |
BVG India IPO Details
| IPO Opening Date | January 2021 |
| IPO Closing Date | January 2021 |
| Issue Type | Book Building |
| Face Value | 10 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | – |
| Min Order Quantity | – |
| Listing At | BSE, NSE |
| Issue Size | – |
| Fresh Issue | 200 Crore |
| Offer for Sale | 1,698,458 Equity Shares |
BVG India IPO Date
BVG India IPO opening date is January 2021, and the closing date is January 2021. The BVG India IPO issue may list in January 2021.
| IPO Opening Date | January 2021 |
| IPO Closing Date | January 2021 |
| Basis of Allotment Date | January 2021 |
| Initiation of Refunds | January 2021 |
| Credit of Shares to Demat Account | January 2021 |
| IPO Listing Date | January 2021 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly
equivalent
|
| Non Institutional Investor | 15 |
Roughly
equivalent
|
| Retail | 35 | Minimum level of 1 lot, based on availability, for every shareholder. |
BVG India IPO Allotment Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of BVG India IPO.
BVG India IPO GMP
BVG India IPO Grey Market Premium is 0. You can check out GMP of Other IPOs on below Links:
| Date | GMP (in Rs) | Subject to Sauda | Kostak (in Rs) |
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Check Out the GMP of all Other IPOs
BVG India IPO Review
BVG India IPO review will depend on the price band which will be announced after SEBI approval. Whenever it will be announced we will update you regarding review of BVG India IPO is good or bad.
BVG India IPO Risk
- The effect of the COVID-19 epidemic on our business is yet unknown.
- They are bound by a number of labour laws and regulations that regulate their employees’ welfare, benefits, and training.
- Various operational hazards may have a negative impact on their reputation or profitability.
- A few of their company’s records can’t be traced.
- They do not own the “BVG” trademark and logo, and they are thus vulnerable to events outside their control affecting the “BVG” brand.
- A small number of clients account for a large portion of their revenue.
- Their company, directors, and promoters are the subject of ongoing legal actions. In addition, they are unable to locate some notices sent to their Promoter.
Other Threats
- Engaging with government agencies and public sector undertakings entails significant risks for them.
- Several lawsuits have been filed against them by former workers.
- Any rulings in outstanding litigation that go against them might have a negative impact on their business.
- Their systems’ inadequacy or security breach might have a negative impact on their firm.
- Integrated services offered to three sectors account for a substantial portion of their total revenue.
- Due to the obvious nature of their emergency police response services, they are subjected to increased public scrutiny and, as a result, any accidents or occurrences are magnified.
- They encounter risks while obtaining equipment, consumables, and services from other parties.
Business
They think that their capacity to deliver a broad range of services to customers under a single contract, as well as cater to clients in a variety of industries and locations, allows them to take advantage of economies of scale and provide cost-effective services to their client base.
They think that their experience, track record, and associated brand equity position them for further possibilities in the form of partnerships and developing outsourced requirements, allowing them to take advantage of early-mover advantages in a variety of different industries.
They were the only qualifying bidder in the Emergency Medical Services category. They are one of India’s first companies to offer railway station management services.
Business Model
Their business strategy is focused on ‘solution pricing,’ and they choose to operate primarily through output-based and/or set billing contracts rather than the traditional cost-plus model, which allows them to better allocate resources and fees.
We may charge clients for services based on the value gained by performing them using this pricing model. As part of their company strategy, we’ve concentrated on progressively automating procedures since it improves human resource allocation and reduces human inefficiency.
As a result, clients demand fewer staff to execute these services, increasing employee productivity and lowering administrative costs. Increasing mechanisation also aids in the attainment of quality requirements.
Strength
One of their main assets, they feel, is their ability to combine a wide range of services into a single contract. They can combine service offerings that transcend industries and necessitate common expertise as well as investments in technology, equipment, and specialised staff training.
This allows them to give each customer with a packaged solution of services that is tailored to their unique demands and meets their needs with appropriate industry experience.
Their services include anything from automated housekeeping, office assistance, and air conditioner repair to specialist services like railway station management, logistical services, and paint-shop cleaning.
BVG India IPO Brokerage views
- Yes Securities : Not Updated
- Choice Brokering: Not Updated
- Axis Securities: Not Updated
- IIFL Securities: Not Updated
- Trade swift: Not Updated
- Anand Rathi : Not Updated
- ICICI Securities: Not Updated
BVG India IPO Subscription Status
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| December 2021 | 1 | |||||
| December 2021 | 2 | |||||
| December 2021 | 3 |
Management
Their Promoters have over 20 years of operational expertise in this industry. They are backed up by a capable and experienced management team that has proven its capacity to manage and expand their business organically.
With the help of Umesh Mane, who is responsible for the administration and execution of their company operations, Hanmantrao Ramdas Gaikwad has been important in developing customer connections and expanding & increasing the business considerably in a very short period of time.
They’ve adopted ‘People Works – Human Capital Management,’ a comprehensive employee platform that manages their whole recruiting process for supervisors and above.
Promoters
- Hanmantrao Ramdas Gaikwad
- Umesh Gautam Mane
Promoter’s Holding
| Pre Issue Share Holding | 59.48% |
| Post Issue Share Holding |
BVG India IPO Prospectus
Contact Details
BVG India Limited
‘BVG House’ Premier Plaza,
Pune – Mumbai Road, Chinchwad,
Pune 411 019, Maharashtra, India
Tel: +91-20-3509 0000
E-mail: [email protected]
Website: www.bvgindia.com
Registrar
Link Intime India Private Limited
C-101, 1st Floor, 247 Park
Lal Bahadur Shastri Marg, Vikhroli (West)
Mumbai 400 083
Maharashtra, India
Tel: +91 22 4918 6200
E-mail: [email protected]
Website: www.linkintime.co.in
Lead Manager(s)
- ICICI Securities Limited
- HSBC Securities and Capital Markets (India) Private Limited
- JM Financial Limited
We hope we are able to answer all your questions about BVG India IPO. If you don’t have a Demat account, open it now with Zerodha best trading app of India.
Disclaimer
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms. We don’t endorse such activities at all. We are sticky against such activities & never advise anyone to trade in grey market at all.
FAQ
BVG India IPO Opening Date?
BVG India IPO will open in January 2021.
BVG India IPO Listing Date?
BVG India IPO will list in January 2021.
BVG India IPO GMP Today?
BVG India IPO Grey Market Premium is INR 0 .
BVG India IPO Allotment Date?
BVG India IPO basis of allotment will be in January 2021.
Lot size for BVG India IPO?
Lot size for BVG India IPO is 0.
