IPO Details
Issue 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 Happy Square Outsourcing Services Ltd
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
About Happy Square Outsourcing Services Limited IPO
Happy Square Outsourcing Services Limited IPO is an IPO of up to 32,00,000 equity shares. It consists of a fresh issue of up to 32,00,000 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 Happy Square Outsourcing Services Limited IPO
- Funding of working capital requirements of the company.
- General corporate purposes.
Happy Square Outsourcing Services Limited IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band (₹) | TBA |
Existing Shares to be Sold | NA |
Fresh Issue | Up to 32,00,000 Equity Shares |
EPS (₹) For the year ended March 31, 2024 | 5.22 |
Happy Square Outsourcing Services Limited IPO Share offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs Share Offered | TBA |
Non-Institutional Investors (NIIs) | TBA |
Retail Individual Investors | TBA |
Industry Outlook
The India Staffing and Recruiting market is valued at USD 1,850 crores, based on a five-year historical analysis. This growth is driven by the increasing demand for flexible staffing solutions across various industries, including IT, manufacturing, and BFSI. The market's expansion is supported by the rise in digital recruitment technologies and a growing preference for temporary staffing due to evolving business needs and project-based requirements, making it a pivotal component of India’s workforce management ecosystem. However, the general staffing industry grew at 16.2% YOY (2023-24) & 2.4% Q4 23-24 (QoQ) whereas the flexi staffing industry grew at 15.3 % in FY 2023-24.
Company Information
Headquartered in Jabalpur, Happy Square is a technology-based consulting firm, involved in a tech-based human resource outsourcing business, which focuses on end-to-end solutions. Promoters of the company, Shraddha Rajpal and Nalini Rajpal have a combined experience of 10-plus years in the staffing industry. The human resource database is a key asset for their industry, and as of July 31, 2024, they have 4,225 personnel deployed at various locations for their clients. They offer a wide array of services such as recruitment, payroll, onboarding, and flexible staffing.
Happy Square Outsourcing Services Ltd Strengths
Professional and well-experienced teams that have in-depth understanding of the human resource industry.
Extensive use of technology in providing solutions to their clients.
Long-standing relationships with clients and repeated business.
Risks of Happy Square Outsourcing Services Limited IPO
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Operating from limited locations.
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Inability to perform background verification procedures on our staffed personnel prior to placing them with their clients
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Change in global economic outlook and increased usage of technology.
All Financial Information about Happy Square Outsourcing Services Ltd
Particulars (in Rs. crores)
Comparison with peers
| Parameter | Happy Square Outsourcing Services Limited* | Spectrum Talent Management Limited |
|---|---|---|
Total Income for the year ended March 31, 2024 (₹ in crores) | 69.289 | 998.987 |
P/E | - | 33.80 |
EPS (Basic)(₹) | 5.22 | 5.02 |
Return on Net Worth (%) | 101.31% | 11.04% |
NAV per share (₹) | 7.77 | 62.65 |
*Financial information for the company is derived from the restated financial statements as of and for Fiscal 2024.
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Anchor Investor Information
The Anchor Investor Bid/Issue Period shall be one Working Day prior to the Bid/Issue Opening Date.
IPO Registrar and Book Running Lead Managers
Book running lead managers:
Corpwis Advisors Private Limited
Registrar for the IPO is Purva Sharegistry (India) Private Limited
Business Model
The company earns its revenue by offering the following services:
- General Staffing
- Industrial Staffing
- Apprentice Solution
- Payroll Management
- Compliance Management
- RPO (Recruitment Process Outsourcing - Permanent Recruitment)
Company Growth Trajectory
The total income for FY 2023-24 has increased by 31.71% to ₹69.54 crores in FY 2023-24 from ₹52.80 crores in FY 2022-23. Revenue from operations has increased by 31.48% to ₹ ₹69.29 crores against ₹52.70 crores for FY 2022-23 due to the addition of new customers in the customer portfolio and additional services from the existing clientele. Other income has increased to ₹0.25 crores in FY 2023-24 from ₹0.10 crores in FY 2022-23, which was mainly due to an increase in interest income.
Company Market Position
The company faces competition from various domestic and international players. The industry in which they operate is unorganised, competitive and highly fragmented in India. They compete based on a number of factors, including network of offices, client relationships, technological and operational excellence, and organic and inorganic growth and integration.
However, the company has over a decade of experience in the human resource segment, and they believe that they will not only maintain but also further enhance their position in the industry.
Happy Square Outsourcing Services Limited Company Profit & Loss
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Revenue from operations (₹ crores) | 28.230 | 52.699 | 69.289 |
Profit Before Tax (₹ crores) | 0.328 | 2.389 | 5.859 |
Net profit / (loss) (₹ crores) | 0.246 | 1.788 | 4.393 |
EBITDA (₹ crores) | 0.455 | 2.845 | 6.645 |
EPS (₹) | 0.29 | 2.13 | 5.22 |
Happy Square Outsourcing Services Limited Cash Flow
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Profit before tax (₹crores) | 0.328 | 2.389 | 5.859 |
Net Cash from Operating Activities (₹ crores) | (0.039) | (1.425) | (1.881) |
Net Cash from Investing Activities (₹ crores) | (1.223) | (1.164) | (1.875) |
Net Cash from Financing Activities (₹ crores) | 0.889 | 2.323 | 3.754 |
Cash and Cash Equivalents (₹ crores) | 0.494 | 0.228 | 0.225 |
How To Check Allotment Status of Happy Square Outsourcing Services Limited 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 Purva Sharegistry (India) Private 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 Happy Square Outsourcing 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 Purva Sharegistry (India) Private Limited website
- Choose “Public Issues” from the “Investor Services” drop-down
- Select Happy Square Outsourcing Services Limited from the drop-down
- Enter your PAN number or Application number
- Click on “Submit” to know the allotment status
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.
Happy Square Outsourcing Services Ltd IPO FAQs
What is the Happy Square Outsourcing Services Limited IPO?
The Happy Square Outsourcing Services Limited IPO has an issue size of up to 32,00,000 equity shares. The IPO opens for subscription on TBA and closes on TBA.
Who is the Registrar for Happy Square Outsourcing Services Limited IPO?
Purva Sharegistry (India) Private Limited is the registrar for this IPO.
Where can I read more about Happy Square Outsourcing Services Limited business?
You may read more about Happy Square Outsourcing Services Limited and its IPO from the company’s draft red herring prospectus (DRHP) here.
Upcoming IPOs
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