Here are 10 key things to know from the RHP

1.Orient Technologies IPO: Subscription details –

The initial Public offering opens for subscription on 21 August, 2024 and closes on 23 August, 2024. The pricing range or the lot size for Orient Technologies’ IPO is ₹195 to ₹206 per share. Applications must be made for a minimum lot size of 72 shares. Retail thereby are required to invest a minimum of ₹14,832.

2. Orient Technologies IPO: Objectives of the issue

The Company proposes to utilize the Net Proceeds towards the following objects:

• Acquisition of office premise at Navi Mumbai situated at units no 1201, 1202, 1203, and 1204, respectively which are situated at Plutonium Business Park, Trans-Thana Creek Industrial Area, Turbhe MIDC, District Thane, Navi Mumbai (collectively, Navi Mumbai Property);
• Funding capital expenditure requirements for:
  i.Purchase of equipment for setting up of Network Operating Centre (NOC) and Security Operation Centre (SOC) at Navi Mumbai Property; and
  ii.Purchase of equipment and devices to offer Devise-as-a-Service (DaaS)offering.(collectively, Capital Expenditure).
• General corporate purposes.

3. Orient Technologies- About the company

Incorporated in July 1997, Orient Technologies Limited is a fast-growing information technology (IT) solutions provider headquartered in Mumbai, Maharashtra. The company has developed extensive knowledge to create products and solutions for specific areas within its business verticals.

These areas are outlined below:

IT Infrastructure: Products and solutions include Data Centre Solutions and End-User Computing;

IT Enabled Services (IteS): Services include Managed Services, Multi-Vendor Support Services, IT Facility Management Services, Network Operations Centre Services, Security Services, and Renewals; and

Cloud and Data Management Services: Services include migration of workload from data centres to cloud.

The company’s wide range of customized offerings and its ability to tailor solutions to meet customers’ specific needs have enabled it to attract prominent clients across various industries. They serve leading public and private sector entities in diverse customer industries, such as banking, financial services, insurance (BFSI), IT, ITeS, and healthcare/pharmaceutical.

Orient Technologies Limited, established in July 1997, is a fast-growing IT solutions provider based in Mumbai. It specializes in IT infrastructure, IT-enabled services (IteS), and cloud and data management services.

The clientele of the company includes Bluechip Corporate Investment Centre Private Limited (Bluechip), Tradebulls Securities Private Limited (Tradebulls), Vasai Janata Sahakari Bank Limited (VJS Bank) and Vasai Vikas Sahakari Bank Limited (VKS Bank), Integreon Managed Solutions India Private Limited (Integreon),Coal India Limited (Coal India), Mazagon Dock Shipbuilders Limited (Mazagon Dock), Joint Commissioner of Sales Tax (GST Mahavikas), Mumbai and D’Décor Exports Private Limited (D’Décor).

The company has received the following certifications: ISO 27001:2013 for Information Security Management System, ISO 20000-1:2018 for Information Technology Services Management, ISO 9001:2015 for Quality Management System, and ISO/IEC 27001:2013 for Information Security Management System. Additionally, we have been awarded the ISO 22301:2012 certificate for our business continuity management systems and the CMMI Maturity Level 3 Certificate.

The company’s corporate office is in Mumbai, Maharashtra, and sales and services offices are located in various cities in India, such as Navi Mumbai and Pune in Maharashtra, Ahmedabad, Gujarat, New Delhi, Bengaluru, Karnataka, and Chennai, Tamil Nadu.

The company has 1,482 permanent employees as of June 30, 2024.

4. Key Risks

a. Orient Technologies is heavily reliant on top 10 customers, and the loss of such customers or a significant reduction in purchases by such customers will have a material adverse impact on its business.

b. Orient Technologies depend on few Customer Industries for majority of its revenue from operations. Loss of customers in these Customer Industries may result in an adverse effect on its business, revenue from operations and financial conditions.

5. Orient Technologies IPO: Financials

Orient Technologies Limited’s profit after tax (PAT) increased by 8% and its sales by 12% in the fiscal year that concluded on March 31, 2024, compared to the net profit and sales for the year that ended on March 31, 2023.

6.Orient Technologies IPO: Promoters

The promoters of Orient Technologies are Ajay Baliram Sawant, Jayesh Manharlal Shah, Umesh Navnitlal Shah and Ujwal Arvind Mhatre. The promoters jointly hold a 97.96% pre-issue stake in the company.

7.Orient Technologies IPO: Registrars , Book running managers

The Orient Technologies IPO’s book running lead manager is Elara Capital (India) Private Limited, and the issue’s registrar is Link Intime India Private Ltd.

8.Orient Technologies IPO: Allotment and Listing details

On Monday, 26 August, 2024, the allocation for the Orient Technologies IPO is anticipated to be completed. The tentative listing date for the Orient Technologies initial public offering (IPO) is Wednesday, August 28, 2024, on the BSE and NSE.