Zaggle Prepaid’s IPO aims to raise INR 563.38 crores. The IPO has two segments- fresh issue worth INR 392 crores and offer for sale worth INR 171.38 crores. The IPO’s main objective is to prepay or repay a portion of the company’s outstanding borrowings, development in technology and to spend on customer acquisition and retention.
Zaggle Prepaid Ocean Services IPO – Important Details
| Zaggle Prepaid Ocean Services IPO Date | 14th September 2023 to 18nd September 2023 |
| Zaggle Prepaid Ocean Services IPO Listing Date | 27th September 2023 |
| Zaggle Prepaid Ocean Services IPO Price | INR 156-164 per share |
| Zaggle Prepaid Ocean Services IPO Lot Size | 90 shares |
| Zaggle Prepaid Ocean Services IPO Total Issue Size | Approx 563.38 crores |
| Zaggle Prepaid Ocean Services IPO Basis of Allotment | 22th September 2023 |
| Zaggle Prepaid Ocean Services IPO Initiation of Refunds | 25th September 2023 |
| Zaggle Prepaid Ocean Services IPO Credit of Shares to Demat | 26th September 2023 |
| Zaggle Prepaid Ocean Services IPO Issue Type | Book Built Issue IPO |
| Zaggle Prepaid Ocean Services IPO Listing At | BSE, NSE |
Zaggle Prepaid Ocean Services Limited IPO – Company Profile
Incorporated in 2011, zaggle operates in a segment where it interacts and interfaces with its customers (i.e., businesses) and end Users (i.e., employees). The company is among a small number of uniquely positioned players with a diversified offering of fintech products and services.
The company is a leading player in spend management, with more than 50 million prepaid cards issued in partnership with banking partners and more than 2.27 million users served, as of March 31, 2023.
Zaggle is a sector-agnostic, and the network of corporate customers (“Customers”) covers the banking and finance, technology, healthcare, manufacturing, FMCG, infrastructure and automobile industries, among others, where they have relationships with brands such as TATA Steel, Persistent Systems, Vitech, Inox, Pitney Bowes, Wockhardt, MAZDA, PCBL (RP – Sanjiv Goenka Group), Hiranandani group, Cotiviti and Greenply Industries.
Zaggle Prepaid Ocean Services Limited IPO Objective
The key objective behind Zaggle Prepaid Ocean Service’s IPO is to support the company’s robust growth plans. With the capital raised, the company aims to:
- Fund the expenditure towards customer acquisition and retention: The company proposes to invest INR 300 crore out of the Net Proceeds for expenditure towards Customer acquisition and retention over the course of the next three Fiscals, which is not consistent with the level of the expenditure towards Customer acquisition and retention in historical periods.
- Fund the expenditure towards development of technology and products: The Company’s technology platform is a key enabler and pillar to the business strategy. In order to grow, the company needs to invest in the product development and technology and create new and differentiated products. The company intends to utilise an aggregate amount of ₹400.00 million between Fiscals 2024 and 2026.
- Repayment of borrowings:Zaggle has entered into certain financing arrangements with banks, which include term loans, working capital loans, overdraft facilities, home loans and vehicle loans. As of March 31, 2023, ther total outstanding borrowings were ₹90.33 crores.The company proposes to utilise an estimated amount of ₹17.08 crores from the Net Proceeds towards repayment or prepayment of a term loan availed by the Company and accrued interest thereon.
Zaggle Prepaid Ocean Services Pvt. Ltd IPO Risks And Challenges
Investing in IPOs comes with its own set of risks and challenges. For Zaggle Prepaid , these are some of the major risks and challenges:
- Any termination of, or failure to maintain, the relationships with the banking partners, including the preferred banking partners, or any changes to the interchange fees due to a variety of factors, could adversely affect the business, results of operations and financial condition.
- The company operates in a highly competitive industry, and an inability to compete successfully could materially and adversely affect the business, financial condition, results of operations and future prospects.
- The company experienced negative operating cash flows in Fiscal 2023 and negative net worth as of March 31, 2022 and March 31, 2021, which may make it difficult or expensive for the company to obtain future financing or meet our liquidity needs.
Zaggle Prepaid Ocean Services Pvt. Ltd IPO Peer Comparison
Given the business model and its diversified product portfolio, there are no direct listed companies in India, or internationally, whose business portfolio is comparable with that of Zaggle’s business and comparable to the scale of operations. Hence, it is not possible to provide an industry comparison in relation to the Company.
Zaggle Prepaid Ocean Services Ltd IPO Financial Information
| Particular | As at 31 March 2021 | As at 31 March 2022 | As at 31 March 2023 |
| Revenue (₹ in millions) | 2,399.66 | 3,712.55 | 5,534.60 |
| Equity (₹ in millions) | (455.51) | (35.58) | 487.51 |
| Expenses (₹ in millions) | 2,220.95 | 3,204.86 | 5,229.40 |
| Profit and Loss After Tax (₹ in millions) | 194.06 | 419.86 | 229.35 |
| RoNW (%) | NA | NA | 46.98% |
| Diluted EPS only (₹) | 2.11 | 4.57 | 2.46 |
| NAV per Equity Share (₹) | (4.94) | (0.39) | 5.29 |
| Total Assets (in millions) | 620.80 | 926.53 | 2,347.59 |
| Total Liabilities (in millions) | 1,076.31 | 962.11 | 1,860.08 |
Zaggle Prepaid Ocean Services Ltd IPO – Industry & Market Potential
The demand for prepaid cards is primarily driven by corporations for gifting, reimbursements, and forex requirements for corporate travellers. Payroll cards being a safer alternative to cash payments are increasingly being adopted, as cards can be blocked and reissued if lost. Further, SMS and emails can alert for every transaction done on the card and offer a safer and secure environment. As of March 2023, India had approximately 0.28 billion prepaid cards of approximately 1.62 billion prepaid payment instruments.
India’s prepaid instruments (PPI) market was approximately ₹2,870 billion in Fiscal 2023 and expected to surpass approximately ₹4,500 billion by Fiscal 2027 at a CAGR of approximately 12% during the period Fiscal 2023 to Fiscal 2027.
Zaggle Prepaid Ocean Services Pvt. Ltd IPO – Type of Offer
Zaggle Prepaid’s IPO aims to raise INR 563.38 crores. The IPO has two segments- fresh issue worth INR 392 crores and offer for sale worth INR 171.38 crores. The IPO’s main objective is to prepay or repay a portion of the company’s outstanding borrowings, development in technology and to spend on customer acquisition and retention.
Zaggle Prepaid Ocean Services IPO Offer Size
Zaggle Prepaid’s IPO aims to raise INR 563.38 crores. The IPO has two segments- fresh issue worth INR 392 crores and offer for sale worth INR 171.38 crores.
Zaggle Prepaid Ocean Services Ltd IPO Allotment Structure
The IPO allotment structure for Zaggle Prepaid and Ocean Services is planned as follows:
- Qualified Institutional Buyers (QIB): As per SEBI regulations, 75% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
- Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs. 2 lakhs.
- Retail Individual Investors (RII): The remaining 10% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs. 2 lakhs.
How to apply for a Zaggle Prepaid and Ocean Services Limited IPO ?
To apply for the Zaggle Prepaid and Ocean Services IPO through Alice Blue, you would typically follow these steps:
- Open a Demat and Trading Account: If you don’t have one already, you would need to open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Zaggle Prepaid and Ocean Services IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for Zaggle Prepaid and Ocean Services IPO at Alice Blue in just a few clicks!
Check Allotment Status: Post the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How to Check Zaggle Prepaid and Ocean Services IPO Allotment Status on Alice Blue?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Zaggle Prepaid and Ocean Services IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Zaggle Prepaid and Ocean Services IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended to contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Zaggle Prepaid and Ocean Services IPO:
● Registrar’s Website: Visit the website of KFin Technologies Limited, the registrar of the Zaggle Prepaid and Ocean Services IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN and application number or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● NSE and BSE: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after the allotment process has been completed, a few days after the IPO window closes.
Zaggle Prepaid Ocean Services IPO Offer Registrar
The registrar for the Zaggle Prepaid and Ocean Services IPO is KFin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
KFin Technologies Limited
Selenium, Tower-B
Plot 31 and 32, Financial District
Nanakramguda, Serilingampally
Hyderabad, Rangareddi 500 032
Telangana, India
Telephone: +91 40 6716 2222
E-mail: [email protected]
Website: www.kfintech.com
Zaggle Prepaid Ocean Services IPO FAQs
- What is the allotment date of the Zaggle Prepaid and Ocean Services Limited IPO ? The allotment date of the Zaggle Prepaid and Ocean Services Limited IPO is 22th September 2023.
- What is the price band of Zaggle Prepaid and Ocean Services Limited IPO ?The price band of Zaggle Prepaid and Ocean Services Limited IPO is INR 156 to 164 per share.
- What is the size of the Zaggle Prepaid and Ocean Services Limited IPO ? Zaggle Prepaid’s IPO aims to raise INR 563.38 crores. The IPO has two segments- fresh issue worth INR 392 crores and offer for sale worth INR 171.38 crores.
- What is the listing date of the Zaggle Prepaid and Ocean Services Limited IPO ? The listing date of the Zaggle Prepaid and Ocean Services Limited IPO is 27th September 2023.
