About the Company:
IndiaMART InterMESH Ltd is India’s largest online B2B marketplace for business products and services with approximately 60% market share of the online B2B classifieds space in India
Company primarily operate through their product and supplier discovery marketplace, www.indiamart.com or “IndiaMART”.
IndiaMART had an aggregate of 325.8 million, 552.6 million and 723.5 million visits in fiscals 2017, 2018 and 2019.
IndiaMART is an online marketplace provides a platform for mostly business buyers, to discover products and services and contact the suppliers of such business products and services.
Company’s online marketplace is accessible through desktop and mobile-optimized platforms and apps on personal computing and mobile devices.
As of March 31, 2019, Company had 82.70 million registered buyers and 5.55 million supplier storefronts in India.
Details about IndiaMart.
IndiaMART provides a robust two-way discovery marketplace connecting buyers and suppliers.
Buyers locate suppliers on the marketplace, including both Indian small and medium enterprises, or “SMEs”, and large corporates, by viewing a web page containing the supplier’s product and service listings, or a “supplier storefront”, or by posting requests for quotes called “RFQs” or “BuyLeads”.
As of March 31, 2019, Company had 82.70 million registered buyers and 5.55 million supplier storefronts in India.
These Indian supplier storefronts had listed 60.73 million products as of March 31, 2019 of which 76% of goods comprised products and 24% were services.
A total of 289.98 million and 448.97 million business enquiries were delivered to IndiaMART suppliers in fiscal 2018 and 2019 respectively.
Company’s Scale and Growth:
In the past three years, Company has experienced significant growth in the number of suppliers and buyers on IndiaMART and in the revenue.
The table below sets forth the growth in the following metrics between fiscal 2017 and 2018:
How does IndiaMart make Money?
Company earn revenue primarily through the sale of subscription packages (available on a monthly, annual and multiyear basis) to suppliers, which offer a range of benefits including the listing of their supplier storefronts on a priority basis on IndiaMART, access to lead management system, integrated access to third party online payment gateways and access to RFQs.
They also earn revenue through advertising on IndiaMART desktop and mobile optimized platforms and IndiaMART mobile app, payment facilitation service and from the sale of “RFQ credits”.
(Note: In fiscal 2017, 2018 & 2019, substantially all of the revenue from operations was earned through the sale of subscription packages, and a minor portion of the total revenue was earned through advertising, facilitation of payment and sale of RFQ credits.)
How many Paying Suppliers does the Company have?
As of March 31, 2019, Company had 129,589 paying subscription customers on our IndiaMART platform. The suppliers on IndiaMART include Indian SMEs and large businesses who are manufacturers, wholesalers, exporters and retailers.
Who are the Competitors for IndiaMart?
IndiaMart faces competition in attracting and retaining suppliers and buyers from a number of competitors, both in India and internationally.These competitors include Indian online B2B marketplaces, foreign B2B online marketplaces.
The key competitors for IndiaMART are Tradeindia.com and Alibaba India. (IndiaMart has 60% market share in online B2B classified space in India.)
Management Team:
- Mr. Dinesh Chandra Agarwal (Designation: Managing Director)
- Mr. Brijesh Agrawal (Designation: Whole-time Director)
- Mr. Dhruv Prakash (Designation: Non-executive Director)
Positives For the Company:
IndiaMart’s strong Network & Brand Recognition drives Leadership in the B2B marketplace in India.
IndiaMART is India’s largest online B2B marketplaces for business products and services with approximately 60% market share of the online B2B classifieds space in India.
As of March 31, 2019, IndiaMART provided 82.70 million registered buyers with access to 5.55 million supplier storefronts in India, which list 60.73 million products and services across 54 industries.
Diverse Industry and Product and Service Categories.
IndiaMart offers a comprehensive breadth and quality of listings across a wide spread range of industries. Company’s products and services are spread across 52 industries rather than relying on a single target industry.
These Indian supplier storefronts had listed 60.73 million products as of March 31, 2019 of which 76% of goods comprised products and 24% were services.
Operations Spread Across Diverse Geographies.
Company’s products and services are spread across India rather than relying on a single geography. Although 39% and 50% of buyers and suppliers are respectively derived from the top 8 metro cities in India, namely Delhi NCR, Mumbai, Bengaluru, Hyderabad, Kolkata, Ahmedabad, Pune and Chennai.
Company’s marketplace offerings also generate traffic from second and third tier cities representing more than 1,000 cities.
Peer Group Comparison:
Company does not have any listed peer group companies in India. Hence we cannot make any Comparison.
Financials of the Company:
| (in Crores) | FY 14 | FY 15 | FY 16 | FY 17 | FY 18 | FY 19 |
|---|---|---|---|---|---|---|
| Revenue | 143.30 | 188.0 | 251.0 | 331.93 | 429.52 | 548.38 |
| Net Profit | (-7.58) | (-31.8) | (-131.56) | (-64.3) | 54.75 | 20.04 |
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IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 24th June 2019 |
| Issue Closes on:. | 26th June 2019 |
| Issue Price | Rs.970 – 973 |
| Face Value | Rs.10 |
| Minimum Lot | 15 Shares |
| Minimum Investment | Rs.14,595 |
| Issue Constitutes | 16.99% |
| Issue Size | Rs.475.58 ($67.8 million) |
| Market Cap | Rs. 2800 cr ($ 400 mllion) |
| Listing at | NSE & BSE |
| Equity Shares Offered (OFS) | 48,87,862 |
| Equity Shares Prior to the Issue | 2,87,74,820 |
| Equity Shares after the Issue | 2,87,74,820 |
Also Read: How to know whether IPO is a Good IPO or a bad IPO?
Important Dates:
| Finalization of Basis of Allotment | On or before 1st July 2019 |
| Initiation of Refunds | On or before 2nd July 2019 |
| Credit of Equity Shares: | On or before 3rd July 2019 |
| Listing Date: | On or before 4th July 2019 |
Subscription Details: (Will be Updated)
| (Subscription-Category-Wise (no. of times) Till time : 05:30) | Shares Offered | Day-1 | Day-2 | Day-3 |
|---|---|---|---|---|
| QIB | 14,63,359 | 0.76 | 1.05 | 30.83 |
| NII | 7,31,679 | 0.01 | 0.04 | 62.14 |
| Retail | 4,87,786 | 0.49 | 2.48 | 13.84 |
| Employee | 10,000 | 0.53 | 2.43 | 6.06 |
| TOTAL | 26,92,824 | 0.51 | 1.04 | 36.16 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 7.61 | 127.85 | 12.54% | 55.92 |
Also Read: How to become a Successful Investor?
| Find the List of Upcoming IPOs in 2019: |
|---|
Upcoming IPOs in 2019 (Click on the below Link)www.UpcomingIPOs-in-India-2019 |
| Check IPO Allotment Status: |
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Link InTime Website (Click on the below Link)https://linkintime.co.in/PublicIssue/ |
| Company Contact Info: |
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| IndiaMART InterMESH Ltd 1st Floor, 29 Daryaganj Netaji Subhash Marg New Delhi 110 002, India Tel: (+91) (11) 3027 2100 Fax: (+91) (11) 4350 9807 E-mail: cs@indiamart.com Website: www.indiamart.com |
| IPO Registrar Info: |
|---|
| Link Intime India Private Limited C-101, 1st Floor, 247 Park, L.B.S. Marg, Vikhroli (West), Mumbai 400 083, Maharashtra, India Tel: +91 22 4918 6200 Fax: +91 22 4918 6195 Email: indiamart.ipo@linkintime.co.in Website: www.linkintime.co.in |
