IPO Update: Noida-based India Exposition Mart files DRHP for Rs 600 cr

India Exposition Mart Ltd, a leading integrated exhibitions and conventions venue, has filed a preliminary prospectus with market regulator Securities and Exchange Board of India (SEBI) to raise Rs 600 crore through an IPO.

According to the draught red herring prospectus, the initial share sale will include a fresh issue of equity shares worth up to Rs 450 crore and an offer-for-sale (OFS) of up to 11,210,659 equity shares by existing shareholders (DRHP). Vectra Investments, MIL Vehicles & Technologies, Overseas Carpets, RS Computech, Navratan Samdaria, Dinesh Kumar Aggarwal, and Pankaj Garg are among those selling shares in the OFS.

According to market sources, the company’s initial share sale is expected to raise around Rs 600 crore. Before filing a prospectus with the Registrar of Companies, the company may consider raising Rs 75 crore. If the pre-IPO placement is carried out, the size of the new issue will be reduced to the extent of the pre-IPO placement.

India Exposition Mart, located in Greater Noida, is one of the country’s major venue planners and providers, offering technology-driven, world-class facilities and safety standards for global business-to-business exhibits, conferences, congresses, product launches, and promotional events, among other things.

India Exposition Mart had recorded a loss of Rs 16.45 crore in FY21 impacted by COVID-led crisis, against a profit of Rs 44.89 crore in previous year. India Exposition Mart had revenues of Rs 13.30 crore in FY21 and Rs 10.66 crore for the six months ended September 30, 2021, which primarily included income from fair and exhibition space rent and income from maintenance services.

Revenue was primarily comprised of Rs 4.78 crore in fair and exhibition space rent and Rs 5.77 crore in maintenance services.

As of December 2021, India Exposition Mart, a major venue planner and provider, has an order book of Rs 121.52 crore from various exhibitions. The venue planner and provider has approximately 15 years of experience in exhibition and trade fair management and organization.

Emkay Global Financial Services is the sole book-running lead manager for the offer, and Kfin Technologies is the registrar.