Data Patterns IPO to open next week, check out the details

Data Patterns IPO to open next week, check out the details In the next week, another IPO is lined up to open for subscription in the primary market. Chennai based Data Patterns (India) Ltd, which supplies electronic systems to defence and aerospace sector will hit the markets on 14th of december.

Data Patterns:

Founded in 2006, the defense and aerospace electronics solutions provider company caters to the indigenously developed defense products industry. The company designs strategic defence and aerospace electronics solutions including processors, power, radio frequencies and microwave, embedded software and firmware and mechanical engineering. The company had developed a fire control system for Brahmos and the launch pad countdown system earlier. The company also works closely with the defence PSUs such as Hindustan Aeronautics Ltd and Bharat Electronics Ltd as well as government organisations involved in defence and space research like DRDO “In its 35 years, it has designed and developed defence and aerospace electronics in areas like avionics, radars, electronic warfare, missile electronics and satellite or launch vehicle" S Rangarajan, CMD, Data Patterns had said in a virtual press met.

When:

The initial Public Offering (IPO) of the company will open on Tuesday, i.e. on 14^th of December and the three-day public issue will close on Thursday, i.e. on 16^th of December.

• Fresh Issue: ₹240.00 Cr
• Offer for sale: ₹348.22 crore.
• Price band: Rs 555-585 per equity share.
• Market value at the upper end of the price band: ₹588.22 crore
• Face value: Rs 2 apiece.
• Lot size: 25 shares and multiples (maximum up to 13 lots)
• Listing: NSE and BSE.
• Listing Date: 24th December 2021, expected.
• Lead managers: IIFL Securities Ltd and JM Financial Consultants Private Limited
• Promoters: Srinivasagopalan Rangarajan and Rekha Murthy Rangarajan are the company promoters.

Objectives of the IPO:

The company aims to utilize the funds for following purpose:

• Prepayment of certain outstanding borrowings availed by the company.
• Funding working capital requirements of the company.
• Upgrading and expanding company’s existing facilities at Chennai.
• Meet general corporate purposes.

Data Patterns had a net profitability growth of approximately 164 per cent between FY20 and FY21 as per S Rangarajan. The company reported a net profit of Rs 55.57 crore in the financial year ended on March 31, 2021, which was Rs 21.04 crore previous fiscal. The revenue from operations climbed to Rs 223.9 crore from Rs 156 crore during the period.