Innovision Files New DRHP With SEBI, Likely To Raise Rs 255 Crore Via IPO, Why Was The Old DRHP Returned?

Innovision Limited, a provider of manpower and toll plaza management services, is back in the IPO spotlight. The company recently refiled its Draft Red Herring Prospectus (DRHP) after the Securities and Exchange Board of India (SEBI) returned its initial submission on September 30, prompting a revision of its offer structure.

Revised IPO Structure

In its updated DRHP, Innovision has made significant adjustments to its Initial Public Offering (IPO) structure. The size of the fresh issue has been scaled down to Rs 255 crore, compared to Rs 315 crore in the earlier filing. On the other hand, the Offer for Sale (OFS) component has increased from 11.81 lakh shares to 17.71 lakh shares.

The fresh issue will now raise Rs 2,55 crore, while the expanded OFS includes up to 1,771,874 equity shares, allowing existing shareholders to offload a greater stake. These modifications aim to balance the company's funding needs while offering enhanced opportunities for investor participation.

Business Footprint & Growth Plans

Operating across 22 states and 3 union territories, Innovision boasts a diverse client base spanning over 200 sectors. The company plans to allocate Rs 43 crore from the fresh issue proceeds to debt repayment, Rs 127 crore to working capital requirements, and the remaining funds to general corporate purposes. As of November 2024, Innovision's outstanding debt stood at Rs 72.4 crore. The revised DRHP underlines the company's focus on streamlining its financials and boosting operational efficiency.

Financial Performance

In fiscal 2024, the company reported a profit of Rs 10.3 crore, marking a 15.6% increase from Rs 8.9 crore in fiscal 2023. Revenue nearly doubled during the same period, soaring to Rs 510.3 crore from Rs 255.6 crore. The momentum continued in FY2025, with a profit of Rs 15 crore and a revenue of Rs 413 crore for the first half.

IPO Details

The Innovision IPO will be a 100% book-built issue, adhering to SEBI's eligibility criteria. The offer will target a diverse investor base, including Qualified Institutional Buyers (QIBs), Non-Institutional Buyers (NIBs), and Retail Individual Investors (RIIs). This inclusive approach aims to maximize subscriptions and generate significant market interest.