Cogent E-Services Ltd IPO

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IPO Synopsis

Cogent E-Services Ltd has filed its preliminary papers with SEBI to raise funds through an initial public offering (IPO). The initial share sale comprises a fresh issue of equity shares aggregating up to Rs.150 crores and an offer for sale of up to 994.68 lakh equity shares by promoters. 
The company may consider a private placement of equity shares up to Rs.30 crores which would diminish the original issue size.
DAM Capital Advisors and IIFL Securities are the books running lead managers to the issue.
 
Objective of the Issue 
The proceeds from the issues will be used in the following manner: 
1. Funding investment in IT assets for expansion and existing IT infrastructure of the company, 
2. Support working capital requirements 
3. General corporate purposes
 

About Cogent E-Services Ltd

Cogent is an end-to-end customer experience or CX solutions provider offering omnichannel solutions along various customer interaction touchpoints from customer sales and support through voice and non-voice channels, back-office solutions and transformative services and digital marketing.
The company is headquartered in Noida, and currently, present in seven cities in India (being, Noida, Vadodara, Bengaluru, Mangaluru, Meerut, Bareilly and Thane) and has 9,022 full-time equivalent (“FTE”) Customer Service and 7,609 seats located across 14 sites.
The geographical spread equips the company with vernacular capabilities to service customers in more than 10 languages, including English, Hindi and regional languages such as Gujarati, Marathi, Tamil, Telugu, Kannada, Malayalam, Punjabi and Bangla
The company's clients are diversified across more than 10 industry verticals including banking and financial services, e-commerce, direct-to-home television, telecommunications (including internet service providers), consumer goods, fast-moving consumer goods and retail, education, travel and hospitality, logistics and automotive
Key clients clients in these industry verticals included Axis Bank Limited, Bajaj Finance Limited, Resilient Innovations Private Limited, CreditMantri Finserve Private Limited, Tata Business Hub Limited, Zomato Limited, Snapdeal Limited, One97 Communication Limited (Paytm), Lenskart Solutions Private Limited, Bigfoot Retail Solutions Pvt. Ltd., Dish Infra Services Private Limited, Bharti Airtel Limited, Tata Sky Broadband Private Limited, Vodafone Idea Limited, Fusionnet Web Services Private Limited, Hindustan CocaCola Beverages Pvt. Ltd., Whirlpool of India Limited, Panasonic India Pvt. Ltd., Metro Cash & Carry India Pvt. Ltd., Kent RO Systems Ltd., Pickrr Technologies Private Limited, VE Commercial Vehicles Ltd. (a Volvo Group and Eicher Motors Joint Venture), Hero Electric Vehicles Private Limited, Ashok Leyland Limited and SML Isuzu Limited.

Profit and Loss

Balance Sheet

Particulars (in Rs. Crores) FY21 FY20 FY19
Revenue 273.9 248.1 159.4
EBITDA 50.4 30.8 17.4
PAT 20.1 8.9 4.6
Particulars (in Rs. Crores) FY21 FY20 FY19
Total Assets 144.0 151.1 107.9
Share Capital 1.0 0.8 0.8
Total Borrowings 15.4 31.6 34.5
Particulars (in Rs. Crores) FY21 FY20 FY19
Net cash generated from / (used in) operating activities 40.21 17.60 2.95
Net cash from / (used in) investing activities -6.74 -4.56 -5.09
Net cash flow from / (used in) financing activities -31.31 -13.69 7.98
Net increase (decrease) in cash and cash equivalents 2.16 -0.65 5.85


The key points are-

IPO Key Points

  • Strengths

    1. End-to-end CX solutions provider with omnichannel capabilities providing customized solutions to the clients 
    2. Domain intelligence across industry verticals in the Indian market enabling the company to be agile in the processes
    3. Integration across geographies and sites reduces the time to market
     

  • Risks

    1. Operates in a highly competitive environment, and any failure to compete effectively against current and future competitors could adversely affect the revenue
    2. Failure in developing and innovating its CXM tools, platforms and processes, the business, financial performance and prospects may be materially affected.
    3. If it cannot adapt the service offerings to changes in technology and market expectations, its ability to grow
    4. Revenues are dependent on a limited number of industry verticals, and any decrease in demand for services in these industry verticals could reduce the revenues
     

How to apply for IPO?

  • Login to your 5paisa account and select the issue in the current IPO section

  • Enter the number of lots and price at which you wish to apply for

  • Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange

  • You will receive a mandate notification to block funds in your UPI app

  • Approve the mandate request on your UPI and funds will be blocked

IPO FAQs

What is the minimum lot size and investment required for the Cogent E-Services IPO?

 Cogent E-Services IPO details are yet to be announced.

What is the price band of the IPO?

 Cogent E-Services IPO details are yet to be announced.

When does the Cogent E-Services issue open and close?

 Cogent E-Services IPO details are yet to be announced.

What is the size of Cogent E-Services IPO issue?

The IPO issue consists of a fresh issue of equity shares aggregating up to Rs. 150 crores and an offer for sale of up to 994.68 lakh equity share.

Who are the promoters/key personnels of Cogent E-Services?

Cogent E-Services is promoted by Abhinav Singh, Arunabh Singh, Gaurav Abrol, Pranjal Kumar, Boomerang and TSSR.

What is the allotment date of Cogent E-Services IPO?

 Cogent E-Services IPO details are yet to be announced.

What is the Cogent E-Services IPO listing date?

 Cogent E-Services IPO details are yet to be announced.

Who are the book runners for Cogent E-Services IPO?

DAM Capital Advisors and IIFL Securities are the book running lead managers to the issue.

What is the objective of the issue?

The proceeds from the issue will be used in the following manner:

1. funding investment in IT assets for expansion and existing IT infrastructure of the company, 
2. support working capital requirements 
3. general corporate purposes
 

How to apply for the Cogent E-Services IPO?

To apply for the IPO, follow the steps given below

1. Login to your 5paisa account and select the issue in the current IPO section
2. Enter the number of lots and price at which you wish to apply for
3. Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange
4. You will receive a mandate notification to block funds in your UPI app