Data Patterns files draft papers with Sebi; aims to raise Rs 600-700 cr via IPO

By: |
September 22, 2021 4:11 PM

For FY21, the company's revenue from operations was at Rs 226.55 crore against Rs 160.19 crore in the preceding fiscal. Its net profit for the period stood at Rs 55.57 crore as compared to Rs 21.05 crore last financial year.

IIFL Securities and JM Financial are the book running lead managers to the issue.

Data Patterns (India), which supplies electronic systems to defence and aerospace sector, has filed preliminary papers with capital markets regulator Sebi to mop up Rs 600-700 crore through an initial share-sale.

The public issue comprises a fresh issue of Rs 300 crore and an offer for sale (OFS) of 60,70,675 equity shares by promoters and individual selling shareholders, according to draft red herring prospectus (DRHP).

The OFS includes sale of up to 19.67 lakh shares each by Srnivasagopalan Rangarajan and Rekha Murthy Rangarajan, up to 75,000 by Sudhir Nathan, up to 4.15 lakh equity shares by G K Vasundhara and up to 16.47 lakh equity shares by other existing shareholders.

The Chennai-based defence electronics company may consider a pre-IPO placement aggregating for up to Rs 60 crore. If such placement is undertaken, the amount raised will be reduced from the fresh issue.

As per market sources, the initial public offering (IPO) is expected to raise Rs 600-700 crore.

The company intends to utilise net proceeds from the fresh issue for repayment of debt, funding its working capital and upgradation and expansion of its existing facilities besides general corporate purposes.

Data Patterns is backed by former Blackstone head Matthew Cyriac via Florintree Capital Partners LLP which holds 12.8 per cent stake in the company.

Founded by Srinivasagopalan Rangarajan and Rekha Murthy Rangarajan, Data Patterns is a vertically integrated defence and aerospace electronics solutions provider that caters to requirements across space, air, land and the sea.

Its core competencies include design and development across electronic hardware, software, firmware, mechanical, product prototype besides its testing, validation and verification.

Its involvement has been found across radars, underwater electronics/communication, electronic warfare suites, avionics, small satellites, automated test equipment, and programmes catering to Tejas light combat aircraft, light utility helicopter, BrahMos and other communication and electronic intelligence systems.

It had developed the first nano satellite “NiUSAT” which thereafter deployed in 2017. In addition, two more satellites are in progress, the draft papers noted.

Data Patterns 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.

The company’s order book has grown at a CAGR (compound annual growth rate) of 40.72 per cent over the last four years and as on July 2021 stood at Rs 582.30 crore.

For FY21, the company’s revenue from operations was at Rs 226.55 crore against Rs 160.19 crore in the preceding fiscal. Its net profit for the period stood at Rs 55.57 crore as compared to Rs 21.05 crore last financial year.

IIFL Securities and JM Financial are the book running lead managers to the issue.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Nykaa IPO opens October 28, firm to raise Rs 630 cr via fresh equity; check grey market premium
2Rakesh Jhunjhunwala buys more Titan shares first time since December 2019, hikes SAIL stake
3No major up move in Gold next week, may underperform Silver in short term; charts show bullish trend in Silver