IPO Details
RHP/DRHPIssue Date
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Investment/lot
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Price Range
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Lot Size
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IPO Size
N/A
Schedule of Datasoft Computer Services IPO
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
About Datasoft Computer Services IPO
Datasoft Computer Services Limited IPO is an IPO of up to 31,50,000 equity shares. It consists of a fresh issue of up to 31,50,000 equity shares. The shares will be allotted on TBA. The credit of shares to the demat account will take place on TBA, and the initiation of refunds will take place on TBA.
Objective of Datasoft Computer Services IPO
- Funding working capital requirements of the company.
- Funding capital expenditure requirements towards the purchase of office equipment and maintenance costs of database management software.
- General corporate purposes.
Datasoft Computer Services IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band (₹) | TBA |
Existing Shares to be Sold | -- |
Fresh Issue | Up to 31,50,000* Equity Shares |
EPS (₹) For the year ended March 31, 2024 | 9.94 |
Datasoft Computer Services IPO Share offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs Share Offered | Not more than 50% |
Non-Institutional Investors (NIIs) | Not less than 15% |
Retail Individual Investors | Not less than 35% |
Industry Outlook
DMS (Document Management System) adoption is rapidly increasing in India due to the compelling need for efficient information management in today's digital age. As businesses prioritise digital transformation, cost savings, and compliance, DMS will play a crucial role in optimising document workflows and empowering organisations across various sectors.
The Document Management System (DMS) industry in India is poised for significant growth in the coming years. The Small and Medium Enterprise (SME) segment is expected to be a key driver of growth, as these businesses increasingly recognise the benefits of DMS solutions. Tailored DMS solutions catering to specific needs of industries like healthcare, education, and finance are expected to gain traction.
Government initiatives like Digital India and e-Office are promoting paperless workflows and mandating digital record-keeping in government departments. This incentivises the adoption of DMS solutions across various government agencies.
Growing compliance regulations in sectors like healthcare, finance, and manufacturing necessitate robust document management systems for secure storage, audit trails, and easier regulatory compliance.
The integration of Artificial Intelligence (AI), Machine Learning (ML), and Robotic Process Automation (RPA) with DMS is creating innovative solutions. These technologies enable features like automated document classification, content extraction, and smart search, enhancing efficiency and user experience.
Company Information
Datasoft Computer Services Limited is a digital transformation company engaged in data digitisation and conversion, with a presence in the government and education sectors and is now expanding their services horizon to the judiciary function of the government. They provide scanning solutions & services, digitisation of physical documents (i.e., scanning, indexing, metadata entry) and management of digitised records through computerised Document Management Systems, i.e., Digital Store System, retrieval system and integration with their respective Management Information System / e-office module based on the client’s requirements.
They are a CMMi-Level 3 certified company and also hold certifications for ISO 9001:2015 for Electronic Data Processing, Data Conversion, Document Digitisation & Management Systems; ISO/IEC 20000-1:2018 for Information Technology – Service Management; ISO/IEC 27001:2022 for Information Security Management System Standard for their services. As part of their services, they also provide training to the client’s team as and when required in areas such as implementation, operations, management, monitoring, error handling, and system administration, for both pre-implementation and post-implementation of the proposed solution.
Strengths of Datasoft Computer Services IPO
Empanelment with National Informatics Centre Services Inc. (NICSI), a Government of India Enterprise under National Informatics Centre (NIC), Ministry of Electronics & Information Technology (MeitY), Government of India for providing digitisation services
They are one of the three companies that are empanelled with NICSI for providing digitisation and scanning services to government organisations, functions and departments, and other government agencies that come through NICSI for digitisation of their physical records. Being one of the three players empanelled with NICSI gives them a competitive edge in obtaining orders from government entities or agencies.
Emergence of the market for digitisation of physical records and increased emphasis of Government of India towards the same.
The market for digitisation of physical records has been growing due to the increasing demand for efficient, secure, and easily accessible information management systems. In India, the government has been placing a strong emphasis on digitising records to enhance transparency, reduce paperwork, and streamline processes across various sectors. The 'Digital India Programme' of Government of India launched in 2015, is the flagship programme which aims to transform India into a digitally empowered society and knowledge economy by digitising the records across various government departments and services.
Technological expertise of the team with adherence to quality control standards.
They have a strong team with expertise in using latest technologies for rendering services of examination, scanning, and digitisation. Their team is continuously trained in new technologies and upgrades in the industry for innovating new methodologies and concepts. They use technologies like On-screen Marking System (OSM), Tabulation Record Management System (TRMS) and Document Management System (DMS) to provide modern solutions.
Risks of Datasoft Computer Services IPO
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Their software, web development, document management system, scanning and digitisation, bulk printing, biometric capture and verification and data entry and processing and many more products and services may contain hardware or software configuration errors or other defects that could harm their reputation, be expensive to correct, delay revenues, and expose them to litigation or damage their reputation.
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Digitisation of government records and going paperless has scope for errors and any missing paper or file could have negative impact on their reputation and goodwill and in turn may impact their revenue from operations due to loss in clients.
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Their sales to government departments and agencies expose them to business volatility and risks, including government budgeting cycles and appropriations.
Datasoft Computer Services IPO Financials
Anchor Investor Information
The Anchor Investor shall bid on the Anchor Investor Bidding Date, i.e., one Working Day prior to the Bid / Issue Opening Date.
IPO Registrar and Book Running Lead Managers
Book running lead managers : Sundae Capital Advisors Private Limited
Registrar for the IPO : KFin Technologies Limited
Business Model
The company earns its revenue through the following sources:
Providing scanning solutions & services, digitisation of physical documents (i.e., scanning, indexing, metadata entry) and management of digitised records through computerised Document Management Systems, i.e., Digital Store System, retrieval system and integration with their respective Management Information System / e-office module based on the client’s requirements.
Company Growth Trajectory
Their revenue from operations for the six months ended September 30, 2024, financial year ended March 31, 2024, 2023, 2022 was ₹15.59 crores, ₹31.88 crores, ₹25.14 crores and ₹20.24 crores, respectively. Their profit for the six months ended September 30, 2024, financial year ended March 31, 2024, 2023, 2022 was ₹2.13 crores, ₹7.16 crores, ₹5.16 crores and ₹4.09 crores, respectively. Their EBITDA for the six months ended September 30, 2024, financial year ended March 31, 2024, 2023 and 2022 was ₹3.88 crores, ₹10.53 crores, ₹7.44 crores and ₹5.73 crores, respectively, while their EBITDA margin was 23.94%, 33.04%, 29.59% and 28.33% in the said period.
Company Market Position
They started with the digital scanning of admit cards, attendance sheets, and marking sheets for school boards and universities and further entered into the scanning and digitisation of documents from various government sectors, such as the courts and libraries using high-speed document scanners and book scanners. The journey of the company from examination data processing to scanning and digitisation, biometric capture and authentication, and software development is not just a technological upgrade, but also a strategic move to respond to growing digitisation and paperless approach in this digital age.
They are one of the three entities empanelled with National Informatics Centre Services Inc. (NICSI), a not-for-profit company under National Informatics Centre, Ministry of Electronics & Information Technology (MeitY), Government of India for scanning and digitisation of records. They have successfully completed various projects awarded to them by NICSI, education boards, independent functions of the central and state governments, etc.
Datasoft Computer Services Company Profit & Loss
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Revenue from operations (₹ crores) | 20.24 | 25.14 | 31.88 |
Profit Before Tax (₹ crores) | 5.36 | 6.90 | 9.60 |
Net profit / (loss) (₹ crores) | 4.08 | 5.15 | 7.15 |
EBITDA (₹ crores) | 5.73 | 7.43 | 10.53 |
EPS (₹) | 5.68 | 7.16 | 9.94 |
Datasoft Computer Services Cash Flow
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Profit before tax (₹crores) | 5.36 | 6.90 | 9.60 |
Net Cash from Operating Activities (₹ crores) | 1.34 | 2.75 | 3.20 |
Net Cash from Investing Activities (₹ crores) | 0.13 | -0.40 | -4.00 |
Net Cash from Financing Activities (₹ crores) | -0.67 | -0.58 | -0.66 |
Cash and Cash Equivalents (₹ crores) | 2.10 | 3.85 | 2.39 |
How To Check Allotment Status of Datasoft Computer Services IPO?
You can check the allotment status of shares either on the website of the Bombay Stock Exchange (BSE) or on the website of the registrar KFin Technologies Limited. To check the status on the BSE website:
- Visit the BSE website
- Click on “Investor Services” and choose “Application Status Check”
- Choose the issue type — Equity or Debt (Equity in this case)
- Select the Issue Name from the drop-down. The issue name is the company’s name, which is Datasoft Computer Services Limited
- Enter your application number or PAN number
- Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status
Follow these steps to know the allotment status on the registrar’s website:
- Visit the KFin Technologies Limited website
- Choose “Public Issues” from the “Investor Services” drop-down
- Select Datasoft Computer Services Limited from the drop-down
- Enter your PAN number or Application number
- Click on “Submit” to know the allotment status
How To Apply for Datasoft Computer Services IPO?
- Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
- Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for.
- Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
- Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds.
- Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Datasoft Computer Services IPO FAQs
Where can I read more about Datasoft Computer Services business?
You can read more about Datasoft Computer Services and its IPO from the company’s red herring prospectus (RHP) here.
What is the Datasoft Computer Services IPO?
The Datasoft Computer Services Limited IPO has an issue size of up to 31,50,000 equity shares. The IPO opens for subscription on TBA and closes on TBA.
Who is the Registrar for Datasoft Computer Services IPO?
KFin Technologies Limited is the registrar for this IPO.
