About the Company:
Silver Touch was founded in 1992 with the mission of endowing our clients with optimum IT solutions, including software development, maintenance, support, testing, and re-engineering.
Company has now grown with its global clientele, and now it is into multiple areas like System integration and Software Development.
Initially, the primary functional areas were restricted to computer sales and maintenance but currently company is providing all end-to-end Information and Communication Technology (ICT) solution to its clients under a single umbrella.
Company’s major share of revenue comes from central government, state governments, Government of India Enterprise and PSU companies.
Company has carried out several domestic and international Joint Ventures which have enabled the Company to expand its geographical reach and create diverse clientele.
Company has executed various projects in India and other countries including USA, UK, France, Australia, Middle East and Germany.
Various Services Offered by the Company (e-Governance Solutions):
- Web Portal Development.
- Document Management & Archival Solution.
- NICSI Roll Out.
- IT Implementation.
Various Services Offered by the Company (Software Services):
- Application Development.
- Application Support and Maintenance.
- Application Migration and Modernization.
- Quality Assurance and Testing.
- Consulting Services.
Various Services Offered by the Company (System Integration):
- Computers and Peripherals.(Supplies PCs, Laptops, Networking Equipments, Printers etc.)
- Servers and Storage Solutions.
- Cloud Solution (IAAS, PAAS).
- IT Security & Surveillance.
- Managed IT Solutions(AMC: Annual Maintenance Contract)
Various Services Offered by the Company (SAP Solutions):
- SAP Implementation & Customization.
- SAP Support. (on-site and off-site support services)
Company has obtained the following Quality Certifications:
- ISO 9001:2008
- ISO/IEC 27001 : 2013
- CMMI Maturity Level 5
- ISO 20000: 2011
Awards received by the Company in recent years:
- Leadership Award 2016 for Most Promising IT Company in India of the year 2016 by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).
Subsidiaries:
Company has following 2 subsidiary companies:
- Silver Touch Technologies (UK).
- Silver Touch Technologies Inc (USA)
Associates:
Company has following associates:
Lime Software Limited:(UK)
- Lime Software Limited, an associate of Silver Touch Technologies Ltd with its 50 % shareholding, is a UK based private limited company.
- It is in the business of offering Oracle asset management software and Oracle audit software & tools that will help managing the business more efficiently.
Silver Touch Technologies SAS:(France)
- Silver Touch Technologies SAS, an associate of Silver Touch Technologies Ltd (Owns 50% Stake).
- It is Web, Mobile Apps and Software Development Company for Optimising Online Presence.
- It also provides E-Commerce Solutions, Staffing Solutions and SAP Business Consulting services in France region.
Shark Identity Private Limited:(India)
- SharkID which is digital business card publishing & sharing platform. It is designed to keep the phonebook updated automatically.
Management Team:
- Mr. Vipul H. Thakkar (Designation: Chairman & Managing Director)
- Mr. Jignesh A. Patel (Designation: Whole Time Director)
- Mr. Minesh V. Doshi (Designation: Whole Time Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Mr. Vipul H. Thakkar | 3637510 | 3.25 |
| Mr. Jignesh A. Patel | 3603710 | 3.30 |
| Mr. Minesh V. Doshi | 1926580 | 4.35 |
| Mr. Palak V. Shah | 785200 | 4.05 |
Objectives of the Issue:
Offer For Sale (OFS) : (Around Rs.40.22 cr)
- Company will not receive any proceeds from the Offer and all proceeds from the Offer shall go to the Selling Shareholders.
Positives for the Company:
- Long experience of the promoters in the industry;
- End-to-end ICT solution under a single umbrella
- Company follows the Quality standards (CMMI Maturity Level 5 Certification) which are followed by leading IT companies.
- Track Record of successful execution of projects.
- Experience across various Industry Vertical.
Negatives for the Company:
- Too much Dependent on Government for Business.
- In FY 17 sales from government & PSU clients was almost 53% of the total revenue from operations.
- In FY 17 One Top client, which is a PSU, contributed 25% of the total revenue from operations.
- Dependency on Government & PSU clients exposes them to additional risks inherent in the government contracting environment.
Financials of the Company:(Consolidated)
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 30th June 17 |
|---|---|---|---|---|---|---|
| Revenue | 83.11 | 109.70 | 118.03 | 141.10 | 124.23 | 49.82 |
| Net Profit | 4.64 | 6.12 | 2.6 | 3.06 | 4.05 | 2.06 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | Book Value per share |
|---|---|---|---|---|---|
| Silver Touch Technologies Limited | 10 | 3.62 | 33.42 | 10.60 | 34.15 |
| Onward Technologies Ltd | 10 | 3.52 | 36.93 | 12.47 | 27.85 |
| Tera Software Ltd | 10 | 8.79 | 6.23 | 12.53 | 70.47 |
| Dev Information Technology Ltd | 10 | 7.28 | 8.04 | 18.03 | 39.90 |
| Fourth Dimension Solutions Limited | 10 | 10.09 | 4.55 | 31.86 | 31.63 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 20th November 2017 |
| Issue Closes on:. | 23rd November 2017 |
| Issue Price | Rs.121 |
| Face Value | Rs.10 |
| Minimum Lot | 1000 |
| Minimum Investment | Rs.1,21,000 |
| Issue Constitutes | 26.39% |
| Issue Size | Rs.40.22 cr |
| Market Cap | Rs.152.39 cr |
| Listing at | NSE SME |
| Total Equity Shares Offered (OFS) | 33,24,000 |
| Equity Shares Prior | 1,25,95,000 |
| Equity Shares after the issue | 1,25,95,000 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 3.62 | 33.42 | 10.60% | 34.15 |
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Markets Guruji Opinion:
| IPO View | Apply For: | Expected listing Gain: |
|---|---|---|
| Subscribe | Listing Gain | 15% |
| Check IPO Allotment Status: |
|---|
Link InTime Websitehttps://linkintime.co.in/PublicIssues/ |
| Company Contact Info: |
|---|
| Silver Touch Technologies Limited 2nd Floor, Saffron, Nr. Panchwati Circle, Ambawadi, Ahmedabad – 380 006 Tel: +91-79-2656 3158; Fax: +91-79-2656 1624; Email: cs@silvertouch.com; Website: www.silvertouch.com |
| IPO Registrar Info: |
|---|
| Link Intime India Private Limited C-101, 1st Floor, 247Park, L.B.S. Marg, Vikhroli (West), Mumbai – 400 083 Tel :+91-22- 49186200, Fax :+91-22- 49186195 E-mail: silvertouch.ipo@linkintime.co.in Email: silvertouch.ipo@linkintime.co.in Website: www.linkintime.co.in |
| Lead Manager to the Issue: |
|---|
| Chartered Capital And Investment Limited 711, Mahakant, Opp V.S. Hospital, Ellisbridge, Ahmedabad-380 006 Tel: +91-79-2657 5337, 2657 7571, Fax: +91-79-2657 5731 E-mail: sttl.ipo@charteredcapital.net Email: investor.relation@charteredcapital.net Website: www.charteredcapital.net |
