Blockbuster debut: Latent View Analytics almost triples investor money on listing

Shares of Data analytics company Latent View Analytics made a blockbuster market debut on Tuesday. The stock opened for trading at Rs 512, on the National Stock Exchange, compared to the issue price of Rs 197 marking a premium of 160% or Rs 315. On the BSE the stock got listed at Rs 530, a premium of Rs 333 or 169%.

The Rs 600 crore public issue created history as it got subscribed a whopping 326.49 times making it highest subscription seen among IPOs in India. The IPO received bids for 5,72,18,82,528 shares as against 1,75,25,703 shares on offer, according to stock exchange data. The portion meant for qualified institutional buyers (QIBs) was subscribed 145.48 times, those reserved for non-institutional investors a whopping 850.66 times and retail individual investors (RIIs) quota received 119.44 times subscription on the closing day of the subscription.

Ahead of the IPO, Latent View Analytics on November 9, 2021, finalized allocation of 1,35,53,898 equity shares to anchor investors at Rs 197 per share, aggregating to Rs 267.01 crore.

The IPO comprises a fresh issue worth upto Rs 474 crore by the company and an offer for sale worth upto Rs 126 crore by selling shareholders.

The company proposes to utilise the net proceeds of the fresh issue towards funding inorganic growth amounting to Rs 147.90 crore, funding working capital requirements of its material arm, Latent View Analytics Corp amounting to Rs 82.40 crore and investment in its arm to augment its capital base for future growth amounting to Rs 130 crore.

The capital base is being augmented to fund its inorganic growth. The company has started evaluating young start-ups for mergers and acquisitions which will drive inorganic growth.

Latent View Analytics is one of the leading pure-play data analytics companies in India. The business of the company can be broadly classified into Consulting services that involves understanding relevant business trends, challenges and opportunities and preparing a roadmap of data and analytics initiatives that addresses them; Data engineering that is undertaken to design, architect and implement the data foundation required to undertake analytics; Business analytics that delivers analysis and insights for clients to make more accurate, timely and impactful decisions; and Digital solutions that it develops to automate business processes, predict trends and generate actionable insights.

The company serves clients across countries in the United States, Europe, and Asia through its subsidiaries in the United States, Netherlands, Germany, United Kingdom and Singapore, with its sales offices in San Jose, London and Singapore.

The company reported a consolidated net profit of Rs 22.30 crore and sales of Rs 87.80 crore as of 30 June 2021.