The digital learning platform Veranda Learning Solutions Pvt. Ltd. has made all arrangements to open its maiden public offering on 29 March 2022. Moreover, the company has fixed the price band for this IPO at Rs. 130 to Rs. 137 per equity share.
Get more details on Veranda Learning Solutions Pvt. Ltd. IPO news in the next section!
A Closer Insight into the Company’s IPO Planning
Veranda Learning Solutions Pvt. Ltd. has reserved up to 75% of their IPO offering for Qualified Institutional Buyer (QIB), 10% for retail investors and 15% for Non-Institutional Bidders (NIB).
The company plans to raise Rs. 200 crores of funds through this initial public offering closing on 31 March 2022. Further, this fund will be used to repay a debt of around Rs. 60 crores. In addition, the learning platform also plans to pay off the acquisition consideration of Edureka through the proceeds along with the repayment of a bridge loan.
The company took it specifically for discharging the acquisition consideration of Edureka amounting to Rs. 25.2 crores and carry growth initiative of Rs. 50 crores.
Sneak Peek into the Company History of Veranda Learning Solutions Pvt. Ltd.
Before filing DRHP for Veranda Learning Solutions Pvt. Ltd. IPO, the company raised an amount of Rs. 40 crores by conducting a private placement for the public category. Around 30.76 equity shares were offered in this round, but there has not been any change in the size of the offer even after that.
The company has diversified its operation by offering its customers online, offline, and online-offline hybrid ways of education. To provide this service to their students, corporate employees, and professionals, the company has four subsidiaries. This includes Veranda XL Learning Solutions, Veranda Race Learning Solutions, Brain4ce Education Solutions Pvt. Ltd. (Edureka), and Veranda IAS Learning Solutions.
This platform also has long-term and short-term learning courses for their students pursuing Chartered Accountancy, Railway, UPSC, Banking, Staff Selection Commission, and other courses.
The platform offers online live instructor learning videos and pre-recorded options to provide online access to education. Also, they put attention to delivering education in regional languages to expand their target audience in Tier 2 and Tier 3 cities and rural areas.
However, they incurred a loss of Rs. 18.27 crores out of the total revenue of Rs. 15.46 crores as recorded in the six months from April 2021to September 2021. On the other hand, the loss in the entire FY 2021 was Rs. 8.28 crores against the total revenue of Rs. 2.54 crores.
Investors who are interested in participating in the initial public offering of this learning company can subscribe to it from 29 March 2022 to 31 March 2022. The maximum portion of the IPO is offered to QIB, while retail investors and NIB get 10% and 15%, respectively. However, all investors must conduct thorough research into the company’s mission, vision and financial highlights before subscribing.
Keep an eye on our blogs section to get more Veranda Learning Solutions Pvt. Ltd. News and updates.
Frequently Asked Questions
1. Who is the book running lead manager and registrar allotted to this issue?
Systematix Corporate Services Ltd. is the assigned book running lead manager for this initial public offering on 29 March 2022. At the same time, KFin Technologies Limited is the registrar.
2. What is Edureka?
Edureka is an online solution provider conducting live-instructor classes for IT industries.
3. Where is Veranda Learning Solutions Pvt. Ltd. based?
Veranda Learning Solutions Pvt. Ltd. is based in Chennai, Tamil Nadu.
Disclaimer: This blog is exclusively for educational purposes and does not provide any advice/tips on investment or recommend buying and selling any stock.