Orient Technologies Limited: A Leader in IT Solutions

Orient Technologies Limited is set to launch its Initial Public Offering (IPO) to raise funds for expansion and general corporate purposes. Orient Technologies is engaged in the manufacturing of precision machined components for the automotive sector. It caters to both domestic and international markets.

Timeline

IPO Open Date:	August 21, 2024
IPO Close Date:	August 23, 2024
Basis of Allotment:	August 26, 2024
Refunds:	August 27, 2024
Credit to Demat Account:	August 27, 2024
IPO Listing Date:	August 28, 2024

About Company

Orient Technologies Limited is a prominent player in the Indian IT solutions landscape. Established in 1997, the company has carved a niche for itself by offering comprehensive IT solutions and services.

Core Business:

• IT Infrastructure: Providing end-to-end solutions for IT infrastructure, including hardware, software, and networking.
• IT Enabled Services (ITES): Offering a range of IT-enabled services such as business process outsourcing, data management, and customer support.
• Cloud and Data Management: Providing cloud-based solutions and data management services to meet the evolving needs of businesses.

Market Position:

• Orient Technologies has established a strong presence in the Indian IT market with a focus on mid-sized enterprises.
• The company has a diverse client base spanning various industries.
• Its expertise in delivering customized IT solutions has been instrumental in its growth.

Future Outlook:

• The company aims to expand its service offerings and geographical reach.
• Focus on emerging technologies like artificial intelligence, machine learning, and cybersecurity is likely to be a key growth driver.
• Strengthening its position in the cloud computing market is another strategic objective.

Key Highlights:

• Established track record in the IT solutions industry
• Diverse service offerings
• Focus on customer-centric solutions

Here are some resources to learn more about company

• Read DRHP Here

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Objective

• Acquisition of office premise at Navi Mumbai situated at unit no 1201, 1202, 1203, and 1204, respectively which are situated at Plutonium Business Park, Trans-Thana Creek Industrial Area, Turbhe MIDC, District Thane, Navi Mumbai (collectively, Navi Mumbai Property);
• Funding capital expenditure requirements for:
  i.Purchase of equipment for setting up of Network Operating Centre (NOC) and Security Operation Centre (SOC) at Navi Mumbai Property; and
  ii.Purchase of equipment and devices to offer Devise-as-a-Service (DaaS)offering.(collectively, Capital Expenditure).
• General corporate purposes.

POSITIVE

• Established Player: Orient Technologies has a strong foothold in the IT solutions market with a proven track record.
• Diverse Service Offerings: The company provides a comprehensive range of IT services, reducing reliance on any single segment.
• Growth Potential: The IT services industry is expected to grow, offering opportunities for expansion.

NEGATIVE

• Intense Competition: The IT solutions market is highly competitive with numerous domestic and global players.
• Economic Downturns: IT spending is often cyclical, and economic downturns can impact revenue.
• Technological Disruptions: Rapid technological advancements can require significant investments to stay competitive.

So, How Does Orient Technologies Limited IPO Fare in Terms of Financials ?

Financial Details

Period Ended	30 Sep 2023	31 Mar 2023	31 Mar 2022	31 Mar 2021
Assets	238.45	215.25	176.32	112.45
Revenue	268.17	542.01	469.12	248.96
Profit After Tax	16.40	38.30	33.49	0.13
Net Worth	145.04	128.82	94.11	61.29
Reserves and Surplus	110.04	111.32	76.61	44.79
Total Borrowing	6.58	12.86	2.28	9.22
Amount in ₹ Crore

Here are some key observations:

• Revenue Growth: The company has demonstrated consistent revenue growth over the past three years, indicating increasing demand for its e-commerce enablement services.
• Profitability: Unicommerce has been profitable in the last three financial years, with a steady increase in profit after tax (PAT), suggesting efficient operations and strong financial performance
• Asset Growth: The company’s assets have grown steadily, indicating investment in operations and expansion.
• Net Worth: A consistent increase in net worth suggests the company is retaining profits and reinvesting in the business.

Orient Technologies Limited IPO Valuation :

KPI	Values
ROE
ROCE
RoNW
P/BV

Orient Technologies Limited IPO – SWOT Analysis

Strengths

• Diverse Service Offerings: A wide range of IT solutions catering to different customer segments.
• Established Market Presence: Strong foothold in the Indian IT market with a loyal customer base.
• Domain Expertise: Deep understanding of IT infrastructure and IT-enabled services.
• Focus on Customer Satisfaction: A customer-centric approach can lead to long-term relationships.

Weaknesses

• Intense Competition: The IT services industry is highly competitive with numerous players.
• Economic Downturns: IT spending is often cyclical, impacting revenue during economic slowdowns.
• Talent Acquisition and Retention: Attracting and retaining skilled IT professionals can be challenging.
• Dependency on Technology: Reliance on evolving technologies requires continuous investment in research and development.

Opportunities

• Emerging Technologies: Exploring opportunities in areas like cloud computing, AI, and cybersecurity.
• Geographic Expansion: Expanding operations to new regions or countries.
• Government Initiatives: Leveraging government initiatives in digital India and infrastructure development.
• Value-Added Services: Offering additional services like IT consulting and managed services.

Threats

• Rapid Technological Changes: Staying updated with the latest technological advancements is crucial to remain competitive.
• Economic Slowdown: A global economic downturn can impact IT spending.
• Cybersecurity Threats: Protecting customer data from cyberattacks is essential for maintaining trust.
• Talent Shortages: Competition for skilled IT professionals can impact operational efficiency.

COMPETITIVE ANALYSIS: MARKET PEERS

• TCS, Infosys, Wipro: Large IT services companies with a broader range of offerings.
• HCL Technologies, Tech Mahindra: Mid-sized IT companies with a focus on specific domains.
• Regional IT Players: Local IT service providers competing for regional projects.

Orient Technologies Limited IPO GMP

• Grey market premium as on 21-08-2024 = Rs / Share

Disclaimer:

• IPO Grey Market Premium (Orient Technologies Limited IPO GMP) mention is valid for the specific date as mentioned in the header.
• We are not buying and selling IPO forms on IPO Grey Market.
• Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing.Subscribe only considering Fundamentals of the companies.

Orient Technologies Limited IPO

🔴 Live Subscription Status 🔴

08/08/2024 10:00 AM

	NO OF SHARES OFFERED	Day 1	Day 2	Day 3
Qualified Institutional Buyers(QIBs)
Non Institutional Investors(NIIs)
Retail Individual Investors(RIIs)
Total

FINAL TAKEAWAY

✅ May Apply

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