IPO Details
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IPO Size
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Schedule of KRI Entertainment IPO
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
About KRI Entertainment IPO
The IPO of KRI Entertainment Ltd comprises a fresh issue of up to 24,00,000 equity shares and an offer for sale of up to 6,00,000 equity shares. It’s a 100% fixed price issue. The IPO opens on TBA and closes on TBA. The credit of shares to the demat account will take place on TBA. The initiation of refunds will take place on TBA and the bsis of allotment will take place on TBA.
Objectives of KRI Entertainment IPO
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company
- To meet working capital requirement
- General corporate purposes
KRI Entertainment IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band | TBA |
Fresh Issue | Up to 24,00,000 equity shares |
Offer for Sale | Up to 6,00,000 equity shares |
EPS in ₹ for FY 24 | 305.54 |
Industry Outlook
The Indian media and entertainment (M&E) sector is poised for substantial growth, with a projected 10.2% increase, reaching ₹255000 crore (USD 30.8 billion) by 2024 and continuing to grow at a 10% CAGR, potentially hitting ₹3.08 trillion (USD 37.2 billion) by 2026. This sector posted a robust 19.9% growth in 2022, crossing the ₹2 lakh crore (USD 24 billion) mark in annual revenue for the first time, driven by a significant surge in digital advertising revenue.
Company Information
KRI Entertainment Ltd is primarily engaged in providing talent management services across the M&E industry. It manages artists, celebrities and a wide array of technical talent, including writers, directors, hair and makeup personnel. Beyond talent management, it offers services in production and content packaging, advertising and event management services.
Strengths of KRI Entertainment IPO
Long-standing Relationships in the Industry
KRI Entertainment Ltd believes that as a well-established company in India's entertainment industry, it has been able to retain and grow its goodwill across the industry. It believes that this has resulted in repeat business transactions for content acquisition with well-known names in the industry. As part of its business expansion and endeavors, the company plans to preserve its long-standing relationships within the industry and will attempt to build new relationships.
Quality Assurance and Standards
Over the years, the company has consistently strived to provide quality services to its clients. While maintaining this constant level of finesse is extremely demanding, it’s very committed to it and continues to push the boundaries even further.
Scalable Business Model
The company’s business model entails making the best use of its ability to manage its clientele, efficient marketing, management expertise in identifying talents, scripts, establishing new associations in the OTT and online digital space and negotiations on the projects where it has pitched out clients. It believes its strategy has proven profitable and scalable for it not only since its incorporation, but also in its previous partnership firm. It has the ability to scale up in response to its company's needs.
Risks of KRI Entertainment IPO
- No Own Registered Office
The registered office from where KRI Entertainment operates is not owned by it. The company cannot assure that it will be able to continue the above arrangement on commercially acceptable / favorable terms in future. If it’s required to vacate the current premises, the company would be required to make alternative arrangements for new office and other infrastructure, and it cannot be assured that the new arrangements will be on commercially acceptable/favourable terms.
- No Firm Commitment with Customers
The company typically does not have firm commitment with its customers. If its customers choose not to source their requirements from it, there may be a material adverse effect on its business, financial condition, cash flows and results of operations.
- Dependence on the Performance of End-Use Customers and the M&E Industry
The company is significantly dependent on its celebrities/rosters engaged in M&E industries who approach it and engage with its services for managing them. The demand of the company’s services is directly proportional to the demand of the services of its customers and the success in M&E industries. Therefore, the commercial success of its business is highly dependent on the commercial viability and success of its customers.
- Shift in Customer Taste and Preference
The entertainment industry is prone to unforeseen shifts in tastes and preferences of audiences, which can significantly impact the company’s operations. If the company is unable to produce the content that appeals to audiences or to accurately judge audience acceptance of content, the commercial success of such serials will be in doubt.
This could result in costs exceeding revenues generated or anticipated profits not being realised, which could have a material adverse effect on its business, prospects, financial condition and results of operations.
KRI Entertainment IPO Financials
Peer Comparison
| Company Name | Revenue from Operations (in ₹ crores) | EPS in ₹ | Return on Net Worth (in %) | NAV in ₹ |
|---|---|---|---|---|
KRI Entertainment Ltd | 21.57 | 305.54 | 51.37 | 18.6 |
Innokaiz India Ltd | 77.63 | 2.11 | 4.39 | 26.67 |
IPO Registrar and Book Running Lead Manager
Bigshare Private Ltd is the registrar of KRL Entertainment Ltd.
The IPO’s registrar is Khandwala Securities Ltd.
Business Model
KRI Entertainment Ltd has grown into a multi-talent management company and provides talent management services across the M&E industry. Presently, the company, through its team of experienced professionals, are providing its services to its esteemed clientele across various entertainment platforms in the M&E Industry such as films, advertisements, endorsements and OTT.
Company Growth Trajectory
The revenues from operation of KRI Entertainment Ltd grew to ₹21.5729 crores in FY 24 from ₹3.6464 crores in FY 22. Its EBITDA margin grew from 27.14% in FY 22 to 38.76% in FY 24. Over the years, the company’s pool of trained and talented employees with a high level of integrity, has enabled it to develop its portfolio of services in order to cater to the needs of its diverse clientele and to leverage the growth and potential of its clientele.
Market Position
Over the last decade, along with widening its spectrum of services, KRI Entertainment Ltd has grown in numbers as well. Its present roster consists of artist as well as technical talent like writers and directors which include Sharad Kelkar, Surveen Chawla, Sonal Chauhan, Sparsh Shrivastava, Monika Panwar, Manurishi Chadha, Pavail Gulati, Vaibhav Raj Gupta and Anubhav Sinha to name a few. It has employed 23 personnel to serve its diverse portfolio of services across sectors.
KRI Entertainment IPO Profit and Loss
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Total Income (in ₹ crores) | 21.68 | 14.81 | 3.69 |
Profit Before Tax (in ₹ crores) | 4.89 | 2.90 | 0.70 |
Profit After Tax (in ₹ crores) | 0.03 | 0.02 | 0.05 |
EPS in ₹ | 305.54 | 2156.97 | 528.41 |
KRI Entertainment IPO Balance Sheet
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Profit Before Tax (in ₹ crores) | 4.89 | 2.90 | 0.70 |
Net Cash Flow from/ (used in) Operating Activities (in ₹ crores) | 0.31 | 1.05 | 1.18 |
Net Cash Flow From/ (used in) Investing Activities (in ₹ crores) | (4.37) | (0.54) | (0.82) |
Net Cash Flow from/ (used in) Financing Activities (in ₹ crores) | 4.07 | (0.32) | (0.21) |
Cash & Cash Equivalents as at End of the Year (in ₹ crores) | 0.26 | 0.71 | 0.52 |
How to Check Allotment Status of KRI Entertainment IPO?
Visit the Registrar’s Website
- Visit the official website of Bigshare Private Ltd
- Choose ‘IPO Allotment Status’ under ‘Solutions’
- Click on any one of the server links
- Select company from dropdown and enter either your application number, beneficiary ID or PAN number
- Enter captcha and click on ‘Search’ to know the status
Check on the NSE Website
The National Stock Exchange (NSE) has an IPO Bid Verification module. You can use it to check the status of KRI Entertainment Ltd. Go to www.nseindia.com and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'.
On the NSE IPO Bid Verification page, enter:
- Company name from dropdown
- Application number
- PAN Then click 'Submit' to know the allotment status.
How to Apply for KRI Entertainment 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.
KRI Entertainment IPO FAQs
Where can I read more about KRI Entertainment business?
You can read more about KRI Entertainment and its IPO from the company’s red herring prospectus (RHP) here.
What is the KRI Entertainment IPO?
The IPO of KRI Entertainment Ltd comprises a fresh issue and an offer for sale of up to 24,00,000 and 6,00,000 equity shares, respectively.
When will the IPO of KRI Entertainment go live?
The exact dates of the IPO are yet to be announced.
