Updater Services IPO
Updater Services IPO — date, price band, lot size & details 2023
Updater Services listed on 4 Oct 2023 at ₹285, 5% below the ₹300 issue price.
Updater Services is an integrated business services platform offering facility management and business support services, and the second largest IFM player in India. Its total income was Rs 2,112.09 crore in FY2023.
Stock price
Updater Services 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 11 November.
- Open 25 Sep 2023
- Close 27 Sep 2023
- Allotment 28 Sep 2023
- Refund/credit 29 Sep 2023
- Listing 04 Oct 2023
Issue summary
The terms of the offer, as filed.
| IPO Dates | 25 to 27 Sep, 2023 |
|---|---|
| Price Band | ₹280 – ₹300 |
| Face Value | ₹10 |
| Lot Size | 50 Shares |
| Issue Size | ₹640 Cr |
| Sale Type | Fresh capital cum OFS |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 15,000 |
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 50 shares at the ₹300 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 50 | ₹15,000 |
| Retail (max) | 13 | 650 | ₹1,95,000 |
| S-HNI (min) | 14 | 700 | ₹2,10,000 |
| S-HNI (max) | 66 | 3,300 | ₹9,90,000 |
| B-HNI (min) | 67 | 3,350 | ₹10,05,000 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 5
- 01Total income rose from Rs 1,216.35 crore in FY2021 to Rs 2,112.09 crore in FY2023.
- 02It is the second largest IFM player in India, serving 2,797 customers.
- 03Rs 400.00 crore of the issue was fresh capital for debt repayment, working capital and acquisitions.
- 04Net worth grew from Rs 285.26 crore on 31 March 2021 to Rs 380.89 crore on 31 March 2023.
- 05The source puts return on capital employed at 14.17%.
Risks · 5
- 01Profit after tax fell from Rs 57.37 crore in FY2022 to Rs 34.61 crore in FY2023.
- 02Margins are very thin, and the source puts the PAT margin at 1.64%.
- 03The pre-issue P/E was 44.31 at the upper band of Rs 300, as per the source.
- 04Total borrowing rose from Rs 11.61 crore on 31 March 2021 to Rs 176.54 crore on 31 March 2023.
- 05The business is labour heavy, so wage rises and staff turnover can squeeze margins. Promoter holding fell from 80.58% to about 58.47%.
Three years of numbers
All figures in ₹ crore, as reported in the Updater Services offer document.
| Metric | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
|---|---|---|---|
| Assets | 1,216.95 | 874.57 | 579.49 |
| Total Income | 2,112.09 | 1,497.89 | 1,216.35 |
| Profit After Tax | 34.61 | 57.37 | 47.56 |
| NET Worth | 380.89 | 340.43 | 285.26 |
| Total Borrowing | 176.54 | 58.68 | 11.61 |
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 Updater Services RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Updater Services IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| P/E Ratio (x) | 44.31 | 57.80 |
Pre-issue figures use the shareholding reported in the RHP; post-issue figures use the shareholding once the fresh issue has created new shares. The two differ because of that dilution and because post-issue earnings per share are often annualised, so the change can run in either direction. Market capitalisation is calculated at the ₹300 offer price. Compare the post-issue P/E against listed peers before deciding — a premium there is growth you are paying for in advance.
Where the money goes
₹377.87 Cr of the issue is earmarked to named objects.
About the company
Its IFM and other services include production support, soft services, engineering services, washroom hygiene, warehouse management and staffing. Through subsidiaries such as Matrix, its BSS segment offers audit and assurance, employee background checks, airport ground handling and sales enablement.
It serves sectors such as FMCG, manufacturing, BFSI, healthcare, IT, automobiles, logistics, airports and retail. As of 30 June 2023 it served 2,797 customers, including P&G, Microsoft and Hyundai.
The IPO was Rs 640 crore, with Rs 400.00 crore of fresh issue and Rs 240.00 crore of offer for sale by promoter Tangi Facility Solutions and investors. Rs 133.00 crore was planned for repaying borrowings and Rs 115.00 crore for working capital.
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.
Updater Services 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.
SBI Capital Markets Ltd.
70 issues handledBest listing: Bajaj Housing Finance (+114.3%). Weakest: Kalyan Jewellers India (-15.0%).
Motilal Oswal Investment Advisors
58 issues handledBest listing: G R Infraprojects (+105.0%). Weakest: R K Swamy (-13.2%).
IIFL Capital Services Limited
116 issues handledBest listing: Unicommerce eSolutions (+117.6%). Weakest: Rategain Travel Technologies (-15.3%).
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 Updater Services?
The current Grey Market Premium is ₹3, or 1% over the issue price.
What is the Updater Services IPO price band?
₹280 to ₹300, on a face value of ₹10.
When is the allotment?
The basis of allotment is 28 September 2023, with listing on 4 October 2023.
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.
