Mouri Tech Ltd IPO Details
Issue Date
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IPO Size
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Schedule of Mouri Tech Ltd
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
Issue Highlights
Initial public offering of [] equity shares of face value of Rs. 10 each (equity shares) of Mouri Tech Limited (company or the issuer) for cash at a price of Rs. [] per equity share (including a share premium of Rs. [] per equity share) (the offer price) aggregating up to Rs. 1500.00 crore, comprising a fresh issue of [] equity shares aggregating up to Rs. 440.00 crores (fresh issue) and an offer for sale of [] equity shares (the offered shares) aggregating up to Rs. 1060.00 crores ,comprising [] equity shares by sujai paturu aggregating up to Rs. 615.00 crores, [] equity shares by anil reddy yerramreddy aggregating up to Rs. 316.00 crores and [] equity shares by srinivasu rao sandaka aggregating up to Rs. 129.00 crores (collectively, the selling shareholders) and such equity shares offered by the selling shareholders (offer for sale, and together with the fresh issue, the offer). The offer will constitute []% of the post-offer paid-up equity share capital. The company, in consultation with the brlms, may consider issue of specified securities as may be permitted under the applicable law, aggregating up to Rs. 88.00 crores with the roc (pre-ipo placement). The pre-ipo placement, if undertaken, will be at a price to be decided by the company, in consultation with the brlms. If the pre-ipo placement, if undertaken, shall not exceed 20% of the size of the fresh issue. If the pre-ipo placement is completed, the fresh issue size will be reduced to the extent of such pre-ipo placement, subject to the offer complying with rule 19(2)(b) of the securities contracts (regulation) rules, 1957, as amended (scrr). The company shall appropriately intimate the subscribers to the pre-ipo placement, prior to allotment pursuant to the pre-ipo placement, that there is no guarantee that the company may proceed with the offer or the offer may be successful and will result in listing of the equity shares on the stock exchanges. Further, relevant disclosures in relation to such intimation to the subscribers to the pre-ipo placement (if undertaken) shall be appropriately made in the relevant sections of the red herring prospectus and prospectus. The offer includes a reservation of [] equity shares, aggregating to Rs. [] crores (constituting []% of the post offer paid-up equity share capital of the company) for subscription by eligible employees (the employee reservation portion). The offer less the employee reservation portion is hereinafter referred to as the net offer. The offer and the net offer shall constitute []% and []%, respectively, of the post-offer paid-up equity share capital of the company. The companyin consultation with the book running lead managers, may offer a discount of up to []% (equivalent of Rs. [] per equity share) to the offer price to eligible employees bidding under the employee reservation portion (employee discount). The face value of equity shares is Rs. 10 each. The offer price is [*] times the face value of the equity shares. The price band, the minimum bid lot size and the employee discount (if any) will be decided by the company.
About Mouri Tech Limited IPO
The Mouri Tech Limited IPO is an IPO of ₹1500 crores. It includes a fresh issue of equity shares aggregating up to ₹440 crores and an offer for sale of equity shares aggregating up to ₹1060 crores. The share allotment date, demat account credit, and refund initiation dates are TBA.
Objective Mouri Tech Limited IPO
- Investment in one of the Material Subsidiaries, MT USA, for the repayment/ prepayment, in full or in part, of certain outstanding borrowings availed by it, including payment of the interest accrued.
- Funding the working capital requirements of the company.
- Funding inorganic growth through unidentified acquisitions and general corporate purposes.
- To achieve the benefit of listing the Equity Shares on the Stock Exchanges and enhance the brand name among users and create a public market for the Equity Shares in India.
Mouri Tech Limited IPO Valuation
| Details | Information |
|---|---|
Upper Price Band (₹) | TBA |
Existing Shares to be Sold | Aggregating up ₹1060 crores |
Fresh Issue | Aggregating up to ₹440 crores |
EPS (₹) (ended Mar 31, 2024) | 15.39 |
Mouri Tech Limited IPO Share Offer and Subscription Details
| Category | Shares offered |
|---|---|
QIB Shares Offered | Not more than 50% of the Issue |
NIIs (HNI) | Not less than 15% of the Issue |
Retail Shares Offered | Not less than 35% of the Issue |
Employee Reservation Portion | TBA |
Industry Outlook
The global technology market is projected to reach USD 696,790 crores by 2027, growing at a CAGR of 8.3% from 2024 to 2027. Within this expansive market, the IT outsourcing sector in India, a critical segment, is valued at USD 880 crores as of 2023 and is expected to grow at a CAGR of 17.8%, reaching USD 2000 crores by 2028. This robust growth is fuelled by increasing demand for advanced technological solutions like cloud computing, big data analytics, and AI-driven digital transformation services that are reshaping industries and driving innovation globally.
Company Information
Mouri Tech Limited is a global enterprise IT solutions and services company, delivering a comprehensive portfolio of services with a focus on end-to-end capabilities in intelligent enterprise resource planning (iERP) and enterprise digital transformation. The company operates across four practice areas: iERP, enterprise digital transformation, infrastructure services, and program management. The company serves a large base of customers whose operations are diversified across industries such as business services, energy and utilities, non-profit and public sector, professional services, hospitality, media and entertainment, manufacturing, life sciences, logistics and transportation.
Strengths of Mouri Tech Limited IPO
Comprehensive Portfolio of IT Solutions and Services in iERP and Enterprise Digital Transformation
The company’s expertise in iERP extends to providing end-to-end capabilities, including advisory, analysis, project planning, design, deployment, integration, testing, and ongoing support for iERP systems. Its engagement with ISVs has enabled it to offer services such as custom enhancements, integrations, application testing and automation, enterprise application platforms, application maintenance and support, and infrastructure management. They also help businesses through their digital transformation journey by offering their services to cover the entire process from developing a roadmap to the deployment and maintenance of digital solutions.
Diversified Marquee Global Customer Base with Longstanding Customer Relationships
The longstanding nature of their relationship is reflected in the recurring revenues from the company’s key customers. As of March 31, 2024, the company had 337 active customer accounts (i.e., an active customer account means that an invoice/ credit memo/ recognition of unbilled revenue has been generated on or after October 1, 2023). To grow, it has acquired 104, 136 and 211 new customers in fiscals 2024, 2023 and 2022, respectively.
Fast Growing Digital IT Services & Solutions Portfolio
The company’s multi-level engagements with leading ISVs have helped them to evolve and broaden their portfolio of digital services over the years to meet changing market needs.
Risks of Mouri Tech Limited IPO
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The company derives 82.38% of its revenue from the United States, making it highly vulnerable to the region's adverse economic, political, or regulatory developments, including inflationary trends, economic slowdowns, or anti-outsourcing legislation, which could significantly impact its business operations and financial performance.
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A significant portion of its revenue (47.22% in Fiscal 2024) comes from its top 10 customers, and any reduction in business from these clients due to factors such as economic challenges, corporate restructuring, or shifts in outsourcing strategies could adversely affect its revenues and profitability.
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The company derives significant revenue from enterprise digital transformation and intelligent enterprise resource planning (“iERP”) solutions. In Fiscal 2024, their revenues from digital transformation and iERP were 44.04% and 41.32% of their revenue from operations respectively. Any decline in the demand of these offerings could reduce their revenues and adversely affect their business, cash flows, financial condition and results of operations.
Mouri Tech Limited Financials
Peer Comparison
| Parameters | Mouri Tech Limited | Persistent Systems Limited | Mphasis Limited | Coforge Limited |
|---|---|---|---|---|
Revenue From Operations for the year ended March 31, 2024 (₹ in crores) | 1141.3 | 9821.587 | 13278.515 | 9179 |
P/E (number of times) | - | 73.04 | 37.27 | 51.13 |
EPS (Basic) | 15.39 | 72.44 | 82.42 | 131.56 |
Return on Net Worth (%) | 31.39 | 22.81 | 20.04 | 23.47 |
NAV per share | 49.04 | 317.60 | 408.24 | 552.11 |
Anchor Investor bidding date: The anchor investor bidding will take place one day before the IPO opens. The exact date is yet to be announced.
IPO Registrar and Book Running Lead Manager:
Book running lead managers: Nuvama Wealth Management Limited, ICICI Securities Limited, JM Financial Limited
Name of the Registrar: Link Intime India Private Limited
Business Model:
The company earns its revenue as a global enterprise IT solutions and services company, delivering a comprehensive portfolio of services with a focus on end-to-end capabilities in intelligent enterprise resource planning (iERP) and enterprise digital transformation.
They operate across four practice areas: iERP, enterprise digital transformation, infrastructure services, and program management. Company Growth Trajectory: Mouri Tech Limited has demonstrated a robust growth trajectory over the years, driven by strategic expansions, a growing customer base, and technological advancements. The company’s revenue increased from ₹827.961 crores in FY22 to 1141.3 crores in FY24, reflecting an upward trajectory in financial performance.
Company Market Position:
As of March 31, 2024, the company had 2,203 IT professional employees across 8 countries including India, the USA, Canada, the UK, South Africa, and Germany which enabled it to serve its customers through its global delivery model.
In 2023, the company was ranked 18 among the top 100 best companies to work for in India by the Great Place to Work Institute.
Mouri Tech Limited IPO Company Profit & Loss:
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Total Income (₹ crores) | 837.61 | 1120.603 | 1153.613 |
Restated profit/(loss) before tax | 160 | 218.195 | 223.586 |
Net Profit (₹ crores) | 116.519 | 159.947 | 167.253 |
EBITDA (₹ crores) | 181.332 | 243.063 | 255.174 |
EPS (₹) basic | 11.64 | 15.98 | 15.39 |
Mouri Tech Limited IPO Company Cash Flow Statement:
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Profit before tax (₹ crores) | 160 | 218.195 | 223.586 |
Net Cash from Operating Activities | 89.416 | 106.299 | 167.942 |
Net Cash Used in Investing Activities | 64.932 | 42.331 | 66.744 |
Net Cash Used in Financing Activities | 24.845 | 52.299 | 29.525 |
Cash and Cash Equivalents (₹ Crores) | 27.648 | 48.055 | 120.729 |
How to check the Allotment Status of Mouri Tech 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 Link Intime 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 Mouri Tech 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 Link Intime India Private Limited website
- Choose “Public Issues” from the “Investor Services” drop-down
- Select Mouri Tech Limited from the drop-down
- Enter your PAN number or Application number
- Click on “Submit” to know the allotment status
Mouri Tech Ltd IPO FAQs
What is the Mouri Tech Limited IPO?
Mouri Tech Limited has an issue size aggregating up to ₹1500 crores. The IPO dates are to be announced.
Who is the Registrar for Mouri Tech Limited IPO?
Link Intime India Private Limited is the registrar for this IPO.
Where can I read more about Mouri Tech Limited's business?
You may read more about Mouri Tech Limited and its IPO from the company’s draft red herring prospectus (DRHP) here: (SEBI |Mouri Tech Limited DRHP)
