Netweb Technologies India IPO

One of India’s top high-end computing solutions (HCS) suppliers, Netweb Technologies India Limited has fully integrated design and manufacturing capabilities. (F&S Report as Source). Netweb Technologies India IPO will hit the stock market in 17 July 2023.

About Netweb Technologies India

High performance computing (Supercomputing / HPC) systems, private clouds, hyperconverged infrastructure (HCI), AI systems, enterprise workstations, high performance storage solutions, data center servers, as well as software and services are all included in Netweb Technologies India’s HCS offerings.

They are a top-tier Indian-owned and -controlled OEM in the HCS market, offering Supercomputing systems, private cloud and HCI, data center servers, AI systems and enterprise workstations, as well as HPS solutions. They also provide data center servers.

They are among the most major OEMs in India in terms of the quantity of HPC installations. Their Order Book was valued at INR 485.61 million, INR 1,279.94 million, and INR 981.24 million, respectively, as of March 31, 2022, September 30, 2022, & February 28, 2023.

Clients

They serve high-profile clients in a variety of end-user industries, including information technology, IT-enabled services, entertainment and media, banking, financial services, and insurance (BFSI), national data centers, and government organizations, including those involved in the defense industry.

They also serve application industries, including Indian Institute of Technology (IIT) Jammu, IIT Kanpur, and NMDC Data Centre Private Limited (NMDC Data centre), Airamatrix Private Limited (Airamatrix), Graviton Research Capital LLP (Graviton), Institute of Nano Science and Technology , HL Mando Softtech India Private Limited (HL Mando), Dr. Shyam Prasad Mukherjee International Institute of Information Technology, Naya Raipur, Jawaharlal Nehru University (JNU), Hemvati Nandan Bahuguna Garhwal University, Akamai India Networks Private Limited, A.P.T. Portfolio Private Limited, and Yotta Data Services Private Limited (Yotta).

Expertise

Netweb Technologies’s HCS, which consists of proprietary middleware solutions, end-user tools, and a precompiled application stack, is designed, produced, and deployed by them.

In specifically, under India’s National Supercomputing Mission, they create native compute and storage technologies and implement supercomputing infrastructure to address the expanding computational demands of businesses, universities, and research organizations.

They also provide services to the Indian Government’s space research organization and the Ministry of Electronics and Information Technology, which conducts research and development in electronics, information technology, and related fields like supercomputing.

They have created, built, and installed some of India’s most potent supercomputing systems over the years. Furthermore, two of their supercomputers have been included ten times in the top 500 supercomputers in the world.

Netweb Technologies India IPO

Netweb Technologies India Limited, headquartered in Faridabad has submitted Draft Red Herring Prospectus (DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of 257 Crore & 8,500,000 equity shares on 28 March 2023.

The offer includes 257 Crore fresh issue and there is offer for sale (OFS) of 8,500,000 equity shares by the promoters mentioned in the DRHP. They are looking for Pre-IPO placement of 51 Crore in this issue.

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.)
	30-Sep-22	31-Mar-22	31-Mar-21	31-Mar-20
Total Assets	179.34	148.61	110.20	50.59
Total Revenue	143.28	247.94	144.29	157.23
Profit After Tax	14.73	22.45	8.23	3.91

Basic and Diluted Earnings Per Share

Financial Period	Basic EPS (in INR)	Diluted EPS (in INR)	Weight
Financial Year 2020	0.77	0.77	3
Financial Year 2021	1.62	1.62	2
Financial Year 2022	4.41	4.41	1
Weighted Average	2.87	2.87
30 Sep 2022	2.89	2.89

Objects of the Issue

• Repayment/prepayment of debt.
• General corporate objectives and organic growth.

Basis of the offer

Netweb Technologies India feel that the following business strengths enable them to compete successfully in the industry, and that these factors will be used to calculate the Offer Price:

• One of the top OEMs for HCS with integrated design and production skills, owned and operated by people of Indian descent.
• Enduring connection to a prestigious and varied customer base.
• R&D has significantly advanced product development and innovation.
• They are one of the top HCS providers in India, and they compete in a highly competitive, technologically advanced market.
• Board and senior management with experience.
• Financial performance track record and steady expansion.

Netweb Technologies India Peer Comparison

S. No.	Face Value	Company Name	PE
1	10	Syrma SGS Technology Limited	50.44
2	2	Kayne Technology India Limited	105.48
3	1	Dixon Technologies (India) Limited	91.02

1. All financial data for listed industry peers is on a standalone/consolidated basis and comes from the audited consolidated/standalone financial statements of the respective firms for the year ending March 31, 2022, which can be found on the Stock Exchanges’ websites.
2. The P/E ratio is calculated by dividing the closing market price of equity shares on the BSE on March 20, 2023 by the diluted EPS derived from the peer group company’s annual report for the year ended March 31, 2022.

Netweb Technologies India IPO Details

IPO Opening Date	17 July 2023
IPO Closing Date	19 July 2023
Issue Type	Book Building
Face Value	2 per share
IPO Price	0 to 0 per equity share
Market Lot	–
Min Amount	–
Listing At	BSE, NSE
Issue Size	257 Crore & 8,500,000 equity shares
Fresh Issue	257 Crore
Offer for Sale	8,500,000 equity shares

Netweb Technologies India IPO Date

Netweb Technologies India Limited IPO opening date is 17 July 2023, and the closing date is 19 July 2023. The Netweb Technologies India issue may list in July 2023.

IPO Opening Date	17 July 2023
IPO Closing Date	19 July 2023
Basis of Allotment Date	24 July 2023
Initiation of Refunds	25 July 2023
Credit of Shares to Demat Account	26 July 2023
IPO Listing Date	27 July 2023

Basis of Allotment

Type	% of Offer	Basis of Allotment
Qualified Institutional Buyer	50	Roughly  equivalent
Non Institutional Investor	15	Roughly  equivalent
Retail	35	Minimum 1 lot based on availability

Netweb Technologies India IPO 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 Netweb Technologies India IPO.

Netweb Technologies India IPO GMP

Netweb Technologies India Limited 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)
July 2023
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Check Out the GMP of all Other IPOs

IPO Grey Market Premium

Netweb Technologies India Limited IPO Review

Netweb Technologies India Limited 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 Netweb Technologies India IPO is good or bad.

Netweb Technologies India IPO Risk

• Their long-term relationship with their clients is essential to their success. They are especially dependent on their top 10 clients.
• They operate a small number of their HCS services, which account for the lion’s share of their profits. Loss or a fall in demand for such offerings could have a negative impact on their business, manufacturing operations revenue, & financial situation.
• The majority of their operating income comes from a select few Application Industries. Losing customers in these application industries could have a negative impact on their business, manufacturing income, and financial health.
• In order to work together on the design and invention of products and solutions, their Company has signed into a number of non-disclosure agreements with their technological partners.

Other Threats

1. Their Company & one of their Promoter Group members share interests. Additionally, the promoter group member offers the same goods and services as us in regions that are separated by a non-compete agreement.
2. Any non-compete agreement violation could have a negative effect on how their firm is run. In each of their different countries, Their Company and one of our Promoter Group’s members employ the exact same intellectual property rights (trademarks).
3. A sizable amount of their orders come from organizations with ties to the government, and these organizations tender out the contracts. Usually, the lowest bidder receives the tender once all other eligibility requirements have been satisfied. If they are unable to effectively bid for these contracts, their performance can suffer.

Production Plant

They conduct business out of a manufacturing plant in Faridabad, Haryana (Manufacturing plant), which has the tools necessary to design, develop, produce, and test their goods as well as meet the needs of their software and service portfolio. They have 15 offices around India in addition to their registered office in Faridabad.

Their Manufacturing Facility has achieved certifications from International Benchmarking & Certifications for ISO 9001:2015 (Quality Management System), ISO 14001:2015 (Environmental Management System), and ISO/IEC 27001:2013 (Information Security Management System).

Their devoted R&D staff at their R&D facilities located in Faridabad and Gurgaon, Haryana, and Hyderabad, Telangana (R&D Facilities), enable and support their ability to deliver a wide variety of products and solutions offerings.They had 35 people on their R&D team as of February 28, 2023.

Netweb Technologies India IPO Brokerage views

Once the dates will be announced we will update the views of different brokerage firms regarding this IPO. Here is the views of different stock brokers regarding this Netweb Technologies India IPO:

• 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

Netweb Technologies India Limited IPO Subscription Status

Date	Day	QIB	NII	Retail	Employees	Total Subscription
July 2023	1
July 2023	2
July 2023	3

Netweb Technologies India Limited Management

In developing & expanding their commercial and operational capabilities, its Promoters have taken the initiative to lead from the front. They have a solid management team led by individuals with extensive IT industry expertise, as well as an experienced board.

With an average tenure of over 9 years with their Company, their Senior Management group includes Prawal Jain, Chief Financial Officer and Chief Human Resource Officer, Hemant Agarwal, Chief Operating Officer, Hirdey Vikram, Chief Marketing Officer, Mukesh Golla, Chief Research & Development Officer, and Lohit Chhabra, Company Secretary and Compliance Officer.

Sanjay Lodha, their chairman & MD, has served as a member of the Manufacturers Association of Information Technology’s Governing Council since the year 2016 through 2022 and now Serviing as Vice President.

Netweb Technologies India Limited‘ Promoters

• Sanjay Lodha
• Navin Lodha
• Vivek Lodha
• Niraj Lodha

Promoters’s Holding

Pre Issue Share Holding	96.78%
Post Issue Share Holding

Netweb Technologies India Limited Prospectus