About the Company:
Route Mobile Ltd provides Cloud-communication platform as a service (“CPaaS”) to enterprises, over-the-top (“OTT”) players and mobile network operators (“MNOs”).
Company’s range of enterprise communication services include application-to-peer (“A2P”) / peer-to-application (“P2A”) / 2Way Messaging, RCS, OTT business messaging, voice, email, and omni-channel communication.
Further, Company also offers SMS analytics, firewall, filtering and monetization, SMS hubbing and Instant Virtual Number (“IVN”) solutions to MNOs across the globe.
Company’s clients include some of the world’s largest and well-known organisations, including a number of Fortune Global 500 companies.
As of June 30, 2020, Company has serviced over 30,150 clients, cumulatively since inception, across sectors including social media, banking and financial services,
aviation, retail, internet/ e-commerce, logistics, healthcare, hospitality, media and entertainment, pharmaceuticals and telecom.
Company’s global operations included nine direct and 12 step-down subsidiaries serving our clients through 18 locations across Africa, Asia Pacific, Europe, Middle East and North America.
Company’s Business Verticals:
Company’s enterprise vertical primarily provides cloud based communication platform to enterprises to enable digital communication through multiple channels including RCS, A2P / P2A messaging, 2Way Messaging, OTT business messaging, enterprise email and URL shortening; and Mail2SMS.
Enterprise business vertical has grown from over 16,000 clients as of March 31, 2015 to over 30,150 clients as of June 30, 2020, including several Fortune Global 500 companies.
Company’s main service offerings in this segment include SMS analytics, firewall, filtering, monetization and CPaaS and hubbing solutions.
Business Process Outsourcing (BPO):
Company provides a range of BPO services including client support, technical support, booking and collection services. Company’s strategic objective is to integrate our BPO capabilities with our enterprise voice platform and deliver end-to-end offerings to enterprise customers.
Company operates through our facilities in Bengaluru, Noida, Mumbai, Varanasi and Patna.
Company services its clients across various sectors including telecom, banking, financial services, insurance, healthcare, media and entertainment, automobile, travel and leisure and e-commerce.
Revenue Generated from Domestic & Export markets:
Relationships with Mobile Network Operators:
In Fiscal 2020, Company’s platform managed more than 30.31 billion billable transactions from our clients and was used by more than 2,700 clients.
Company has established direct relationships with MNOs that provide our clients with global connectivity. As of June 30, 2020, we had direct relationships with over 240 MNOs and four short messaging service centres hosted in various geographies across the globe. We are able to access more than 800 networks across the world, as of June 30, 2020.
Competitors in the Business:
The cloud communications market is characterized by fragmented and highly competitive market participants. Route Mobile Ltd compete with other global A2P service providers including Syniverse and Mblox in the United States, SAP Mobile in Germany and CLX in Sweden.
Company has regional offices situated in Bengaluru, Patna, Noida, Ranchi and Delhi. Internationally, we have offices in United States, United Kingdom, Malta, United Arab Emirates, Ghana, Nigeria, Nepal, Sri Lanka, Bangladesh, Singapore, Uganda and Zambia.
Revenue from Top 5/10/20/50 Clients (in Percentage):
- Mr. Chandrakant Gupta (Designation: Chairman and Nonexecutive Director)
- Mr. Rajdipkumar Gupta (Designation: Managing Director and Group Chief Executive Officer)
Objectives of the Issue:
Offer for Sale: (Rs. 360 cr)
The proceeds from the Offer for Sale shall be received by the Selling Shareholders and our Company shall not receive any proceeds from the Offer for Sale.
Fresh Issue: (Rs. 240 cr)
- Repayment or pre-payment, in full or part, of certain borrowings of our Company.
- Acquisitions and other strategic initiatives.
- Purchase of office premises in Mumbai.
- General corporate purposes.
Peer Group Comparison:
There are no listed entities in India whose business portfolio is comparable with that of Route Mobile Ltd. Hence we cannot make any comparison
Positives for the Company:
Global connectivity through established relationships with MNOs.
- Company has direct relationships with over 240 MNOs (“Super Network”) and provided our enterprise clients with access to over 800 mobile networks and has partnered with some of the key players across the globe.
- As of June 30, 2020, we had direct relationships with 161 MNOs in EMEA, 32 MNOs in the APAC region, 48 MNOs in North America and South America, six MNOs in India and one MNO in Australia.
- As of June 30, 2020, we have served over 30,150 clients, cumulatively since inception, globally through our offices across Africa, Asia Pacific, Europe, Middle East and North America.
Diversified and Global client base across industries serviced locally.
- Company has a diverse enterprise client base across a broad range of industries including social media companies, banks, financial institutions, e-commerce entities, travel aggregators and other client facing companies. Additionally, MNO clients include over 25 operators across four continents.
Financials of the Company:
|(in Crores)||FY 18||FY 19||FY 20|
|Issue Opens on||9th September 2020|
|Issue Closes on:.||11th September 2020|
|Issue Price||Rs.345 – 350|
|Retail Category Allocation||35%|
|Issue Size||Rs.600 cr ($82.7 million)|
|Market Cap||Rs.1990 cr ($274 million)|
|Listing at||NSE & BSE|
|Equity Shares Offered (Fresh)||68,57,142|
|Equity Shares Offered (OFS)||1,02,85,714|
|Total Equity Shares Offered (Fresh + OFS)||1,71,42,856|
|Equity Shares Prior to the Issue||5,00,00,000|
|Equity Shares after the Issue||5,68,57,142|
|Finalization of Basis of Allotment||on or Before 16th September 2020|
|Initiation of Refunds||on or Before 17th September 2020|
|Credit of Equity Shares:||on or Before 18th September 2020|
|Listing Date:||on or Before 21st September 2020|
Subscription Details: (Will be Updated)
|(Subscription-Category-Wise (no. of times) Till time : 05:00 PM)||Shares Offered||Day-1||Day-2||Day-3|
IPO Valuation Parameters:
|Earnings Per Share (EPS)||Price To Earnings ratio (PE)||Return on Net Worth (RoNW)||Net Asset Value (NAV)|
|Company Contact Info:|
|Route Mobile Ltd
4th Dimension, 3rd Floor
Mind Space, Malad (West)
Mumbai 400 064
Telephone: +91 22 4033 7676
|IPO Registrar Info:|
|KFin Technologies Private Limited
Selenium Tower B, Plot 31 and32,
Gachibowli, Financial District,
Nanakramguda, Serilingampally, Hyderabad
500 032, Telangana, India
Tel: +91 40 6716 2222
|Check IPO Allotment Status:|
KfinTech Website (Click on the below Link)