Tree House Education & Accessories IPO
Tree House Education & Accessories IPO — date, price band, lot size & details 2011
Tree House Education & Accessories listed on 26 Aug 2011 at ₹132, 2.2% below the ₹135 issue price.
Tree House Education & Accessories runs the largest number of self operated pre schools in India and provides educational services to K-12 schools. Its total income was Rs 41.15 crore in FY2011.
Stock price
Tree House Education & Accessories is listed — here is the live share price.
Researched & reviewed by
Abhishek Vohera,
Founder, IPO Guru
Last updated
Figures sourced from the RHP, BSE & NSE
Timetable
Key dates from opening to listing. Today is 15 November.
- Open 10 Aug 2011
- Close 12 Aug 2011
- Allotment 22 Aug 2011
- Refund/credit TBA
- Listing 26 Aug 2011
Issue summary
The terms of the offer, as filed.
| IPO Dates | 10 to 12 Aug, 2011 |
|---|---|
| Price Band | ₹135 – ₹153 |
| Face Value | ₹10 |
| Lot Size | 40 Shares |
| Issue Size | ₹112.06 Cr |
| Sale Type | Fresh capital only |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 5,400 |
Share of the offer set aside for each investor category, as stated in the offer document.
What will it cost me?
Bidding is in multiples of 40 shares at the ₹135 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 40 | ₹5,400 |
| Retail (max) | 37 | 1,480 | ₹1,99,800 |
| S-HNI (min) | 38 | 1,520 | ₹2,05,200 |
| S-HNI (max) | 185 | 7,400 | ₹9,99,000 |
| B-HNI (min) | 186 | 7,440 | ₹10,04,400 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 4
- 01Total income rose from Rs 10.65 crore in FY2009 to Rs 41.15 crore in FY2011.
- 02Profit after tax rose from Rs 0.51 crore in FY2009 to Rs 9.20 crore in FY2011.
- 03It ran 177 pre schools across 23 cities, the most self operated pre schools in India per CRISIL.
- 04Net worth rose from Rs 44.01 crore in FY2009 to Rs 122.65 crore in FY2011.
Risks · 5
- 01Total borrowing rose from Rs 0.04 crore in FY2009 to Rs 46.62 crore in FY2011.
- 02School services depend on contracts with schools, which can change; total assets were Rs 184.94 crore.
- 03Education businesses face regulation on fees and approvals; profit was only Rs 2.60 crore in FY2010.
- 04The issue was priced at Rs 135, the bottom of its price band.
- 05The promoters held only 39.47% before the issue and 29.6% after it.
Three years of numbers
All figures in ₹ crore, as reported in the Tree House Education & Accessories offer document.
| Metric | 31 Mar 2011 | 31 Mar 2010 | 31 Mar 2009 |
|---|---|---|---|
| Assets | 184.94 | 87.53 | 46.95 |
| Total Income | 41.15 | 21.87 | 10.65 |
| Profit After Tax | 9.20 | 2.60 | 0.51 |
| NET Worth | 122.65 | 69.77 | 44.01 |
| Reserves and Surplus | 98.63 | 44.10 | 29.14 |
| Total Borrowing | 46.62 | 12.00 | 0.04 |
See how this IPO compares — view listing performance of all mainboard IPOs.
Valuation & key ratios
Ratios are for the latest full financial year reported in the Tree House Education & Accessories RHP.
Where the money goes
₹15.14 Cr of the issue is earmarked to named objects.
Tree House Education & Accessories IPO Anchor Investors
3 anchor investors across 2 fund houses committed ₹17.07 Cr a day before the issue opened.
| Anchor Investor | Fund House | Shares | Amount (₹ Cr) | % of Anchor Book |
|---|---|---|---|---|
| Rising India Focus Fund Limited | - | 632,414 | 8.54 | 50.00% |
| Axis Mutual Fund Trustee Limited A/C Axis Mutual Fund A/C Axis Equity Fund | Axis Mutual Fund | 568,384 | 7.67 | 44.94% |
| Axis Mutual Fund Trustee Limited A/C Axis Mutual Fund A/C Axis Mid Cap Fund | Axis Mutual Fund | 64,030 | 0.86 | 5.06% |
| Total anchor allocation | 17.07 | |||
Anchor investors bid a day before the issue opens and are locked in after allotment, so a book weighted towards domestic mutual funds is generally read as a stronger signal than one filled by short-horizon funds. Browse every anchor investor scheme or fund house we track.
About the company
According to a CRISIL report, it operated the largest number of self operated pre schools in India, with 177 pre schools under the Tree House brand across 23 cities.
It also provides services to K-12 schools, including designing curriculum, teaching aids, teaching methods and extra curricular activities.
The IPO was Rs 112.06 crore and was entirely fresh issue at Rs 135, the bottom of the Rs 135 to Rs 153 band. The money was for expanding its pre schools, office space, exclusivity rights for school services, an educational complex and repaying loans.
Interested in this IPO? Check the live subscription status or browse all upcoming mainboard IPOs.
The bankers & the filings
Who is running the book, and the documents this page is built from.
Tree House Education & Accessories IPO Documents
Read the filings this page is built from.
Lead Manager Track Record
How the book-running lead managers on this issue have priced their past IPOs, measured on listing day.
JM Financial Ltd.
172 issues handledBest listing: Tata Technologies (+140.0%). Weakest: ACME Solar Holdings (-13.1%).
Motilal Oswal Investment Advisors
79 issues handledBest listing: G R Infraprojects (+105.0%). Weakest: R K Swamy (-13.2%).
Listing gain compares the listing-day opening price with the issue price, using the IPOs on IPO Guru that this lead manager has taken to market. A strong record reflects how the banker has priced past issues — it is not a forecast for this one. See every issue they have handled on the lead managers page.
Company contact
Frequently asked
What is the GMP of Tree House Education & Accessories?
The current Grey Market Premium is ₹0.
What is the Tree House Education & Accessories IPO price band?
₹135 to ₹153, on a face value of ₹10.
When is the allotment?
The basis of allotment is 22 August 2011, with listing on 26 August 2011.
How do I check allotment status?
On the IPO Guru allotment page or on the registrar's site — MUFG Intime India Private Limited.
Every number here traces back to a filing.
IPO Guru tracks GMP, subscription and allotment for every Mainboard and SME issue. Every number on this page is sourced from the RHP, BSE & NSE.
Not investment advice. Grey market premium is an unofficial, unregulated indicator and is not a forecast.
