Innovision IPO

About Innovision Limited IPO

Innovision Limited IPO is an IPO of TBA. It consists of an offer for sale aggregating up to 1,771,874 equity shares and a fresh issue aggregating up to ₹255 crores. 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 Innovision Limited IPO

• Repayment or pre-payment, in part or full, of all or certain borrowings availed by the company.
• Funding working capital requirements of the company.
• General corporate purposes.

Industry Outlook

The security services industry in India includes manned security, electronic, integrated facility management, training services to upskill, drones (technology enabled), etc.

The rise in demands for security services are influenced by many factors like economic growth, growing crime rates and terrorism, growth of commercial and industrial establishments, government initiatives, and more.

The Indian security services (manned security) market was valued at ₹547 billion in 2019 and has reached ₹875 billion by 2023, representing a CAGR of 12.5% from 2019 to 2023. Security Services include Static Guard, Concierge Officer, Augmented Officer, but do not include Event Security, Escort Services. Furthermore, the market is projected to reach ₹1,722 Billion by 2029, growing at a CAGR of 11.9% from 2023 to 2029.

Company Information

Innovision Limited is in the business of providing manpower services, toll plaza management and skill development training to their clients across India. As on June 30, 2024, they have their operations in 22 states and 3 union territories of India. They started their business with a single service domain of providing manned private security services to their clients in the year 2007 and have gradually diversified their business to provide a suite of manpower services. They commenced offering skill development services from fiscal 2014 and toll plaza management services from fiscal 2019.

Through their wholly owned subsidiary, Innovision International Private Limited (Innovision International), they provide services in respect of recruitment, placement consultancy and visa facilitation services. They also provide remote pilot training courses to enthusiasts and budding drone operators through their subsidiary, Aerodrone Robotics Private Limited (Aerodrone).

Risks of Innovision Limited IPO

• The company’s business significantly depends on projects awarded by the government or government-owned clients, which subjects them to a variety of risks. In case of any change in government policy, budget or criteria, it may impact the availability of such projects and affect their business operations.

• A significant portion of their revenues are derived from a few geographical regions and any adverse developments affecting such regions could have an adverse effect on their business, cash flows, results of operation and financial condition.

• They have a large workforce deployed across workplaces and client premises, consequently they may be exposed to service-related claims and losses or employee disruptions that could have an adverse effect on the reputation, business, results of operations and financial condition.

• For their revenue from ‘Toll Plaza Management’ they are dependent on a single client, i.e.NHAI. In case they fail to win bids from NHAI, their toll plaza management segment would be severely affected and adversely affect their results of operations.

Anchor Investor Information

The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening Date.

IPO Registrar and Book Running Lead Managers

Book running lead managers:

Emkay Global Financial Services Limited

Registrar for the IPO is KFin Technologies Limited

Business Model

The company earns its revenue through the following sources:

• Providing manpower services, toll plaza management and skill development training to their clients across India.

Company Growth Trajectory

Their manned private security services business employed more than 6,500 security guards and servicing 177 clients, as of June 30, 2024.

Till date they have undertaken 34 toll plaza management projects including existing 8 projects. The ongoing projects are located across Northern and Eastern States in India namely Uttar Pradesh, Uttarakhand, West Bengal, and Assam. As on June 30, 2024, their toll plaza management business employed more than 450 persons comprising fee collectors, fee attendants, and shift in-charge at the aforementioned plazas.

For the period ended June 30, 2024, and the last three fiscals they have trained 35,768 persons under their skill management operations. Their revenue from operations grew from ₹209.774 crores in FY 22 to ₹510.326 crores in FY 24. Their profit after tax also grew from ₹4.054 crores in FY 22 to ₹10.271 crores in FY 24.

The need for skilled personnel will continue to grow in the coming years. The market for manned security personnel is projected to reach ₹1,722 billion by 2029, growing at a CAGR of 11.9% from 2023 to 2029. The integrated facility management market is projected to reach ₹ 2,289 billion by CY2029, growing at a CAGR of 14.9% from CY2023-29.

Company Market Position

Innovision Limited Company has operations in 22 states and 3 union territories. Further, they have been licensed to provide manned private security services under PSARA Act, in 18 States and 4 Union Territories in India. They are also running one training centre to train the private security personnel. They are also operating 60 plus skill development centres and 8 toll plazas. As on June 30, 2024, they employed more than 13,000 personnel in India and rendered security and facility management services at more than 200 client premises across India. Their widespread office network enables them to service a large number of client premises and render customised services across India.

How To Check Allotment Status of Innovision 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 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 Innovision 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 Innovision Limited from the drop-down
  
• Enter your PAN number or Application number
  
• Click on “Submit” to know the allotment status