Crizac Ltd Secures SEBI Approval for ₹1,000 Crore IPO

Crizac Ltd., a Kolkata-based business-to-business education platform, has obtained the Securities and Exchange Board of India’s (SEBI) final approval to proceed with its initial public offering (IPO). The company, which specialises in international student recruitment, aims to offer its shares exclusively through an offer for sale (OFS) amounting to ₹1,000 crore. This move will enable its promoters to divest equity stakes while allowing investors to participate in its growth.

Details of the IPO and Offer for Sale

The IPO, which follows the refiling of draft papers with SEBI on 18 November 2024, consists solely of an offer for sale by the company’s promoters. The OFS includes equity shares worth ₹ 841 crore from Pinky Agarwal and ₹ 159 crore from Manish Agarwal, with a face value of ₹ 2 per share. A portion of the offer has been reserved for eligible employees.

As the issue is entirely an OFS, Crizac Ltd. will not receive any proceeds from the sale. The selling shareholders will gain from the offer after deducting applicable taxes and related expenses. The company’s shares are set to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). Equirus Capital Pvt. and Anand Rathi Advisors Ltd. are the book-running lead managers for the issue, while Link Intime India Pvt. is the registrar.

Crizac Ltd.’s Market Presence and Operations

Crizac Ltd. plays a vital role in the international education sector by connecting global institutions with student recruitment agents. The company provides services to institutions across the UK, Canada, Ireland, Australia, and New Zealand.

During the six months ending 30 September 2023, as well as in the past three financial years, Crizac facilitated student enrolment applications from over 75 countries through its registered agents. The company has processed more than 5.95 lakh student applications and partnered with over 135 global universities. By 30 September 2024, Crizac had over 7,900 registered agents globally, with 2,532 active agents in fiscal year 2024. Its operations extend across key markets such as India, the UK, Nigeria, Pakistan, Bangladesh, Nepal, Sri Lanka, Kenya, Vietnam, Canada, and Egypt.

Apart from its strong presence in India, Crizac Ltd. has co-primary operations in London and employs consultants in various countries, including Cameroon, China, Ghana, and Kenya. This international reach strengthens its position as a leading player in the student recruitment sector.

Conclusion

With SEBI’s final observation in place, Crizac Ltd. is set to launch its ₹1,000 crore IPO, marking a significant milestone in its journey. The company’s extensive global presence and expertise in student recruitment position it as a key player in the international education industry.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.