What you must know about Krystal Integrated Services IPO?

About Krystal Integrated Services Ltd

Krystal Integrated Services Incorporated in December 2000 specializes in providing facilities management services. Their offerings includes housekeeping, sanitation, landscaping, gardening, mechanical, electrical, plumbing services, waste management, pest control, façade cleaning, along with additional services such as production support, warehouse management, and airport management. Krystal Integrated also provides staffing, payroll management, private security, manned guarding, and catering services.

As of 31 March 2023, Krystal Integrated Services Limited served 134 hospitals, 224 schools, 2 airports, 4 railway stations, and 10 metro stations, and also provided catering services on some trains. The company expanded its clientele over the years, serving 262 customers in 2021, 277 in 2022, and 326 in 2023, indicating a growing demand for its services.

With a widespread presence, as of 31 March 2023, the company operated across 2,427 customer locations spanning 14 states and one union territory in India. To further enhance its reach, Krystal Integrated Services Limited had established 21 branches as of 31 March 2023. Additionally, the company employed 31,881 individuals working on-site across various operations, as of the same date.

Highlights of the Krystal Integrated Services IPO

Here are some of the highlights of the Krystal Integrated Services IPO:

• Krystal Integrated Services IPO will be open from 14 March 2024 to 18 March 2024. Krystal Integrated Services has a face value of ₹10 per share and the price band for the IPO has been set between the range of ₹680 to ₹715 per share.
   
• Krystal Integrated Services IPO is a combination of fresh issue of 0.24 Cr shares to ₹175.00 Cr and offer for sale of 0.18 Cr shares to ₹125.13 crores.
   
• The company has been promoted by Prasad Minesh Lad, Neeta Prasad Lad, Saily Prasad Lad, Shubham Prasad Lad and Krystal Family Holdings Private Limited. Promoter holding in the company currently stands at 99.99%. However, post listing promoter holding will get diluted.
   
• The funds raised will be used to repay or pre pay certain borrowings of the company, working capital requirement, capital expenditure to purchase new machinery and the remaining amount will be allocated for general corporate purposes.

• Inga Ventures has been appointed as the book running lead manager for the Krystal Integrated Services IPO and Link Intime will serve as the registrar for the issue.

Krystal Integrated Services IPO allocation

Net offer will be distributed among retail investors, Qualified Institutional Buyers and High Net Worth Individuals / Non Institutional Investors. The breakdown of the overall IPO of Krystal Integrated Services Ltd in terms of the allocation to various categories is captured in the table below.

Lot sizes for investing in the Krystal Integrated Services IPO

The minimum lot size for investing in the Krystal Integrated Services IPO is 20 shares, which amounts to ₹14,300 (20 shares x ₹715 per share). The lot size in an IPO represents the minimum number of shares an investor is required to apply for. After the IPO is listed shares can be traded individually. The table below shows the minimum and maximum lot sizes for different investor categories.

Key dates for Krystal Integrated Services IPO?

Krystal Integrated Services IPO opens on Tuesday, March 12, 2024, and closes on Thursday, March 14, 2024. Similarly, the Krystal Integrated Services Ltd IPO bidding period is from March 12, 2024, at 10:00 AM to March 14, 2024, at 5:00 PM. The cut-off time for UPI Mandate confirmation is also 5:00 PM on the closing day of the issue, which is March 14, 2024.

In ASBA applications, the total application amount is blocked, meaning the funds are reserved but not deducted from the bank account. After the allotment process, only the allotted amount is debited from the blocked funds. The remaining amount is automatically released back to the bank account without any refund process.

Financial highlights of Krystal Integrated Services Ltd

The table below captures the key financials of Krystal Integrated Services Ltd for the last 3 completed financial years.

Profit after Tax for Krystal Integrated Services has shown growth over the past three fiscal years. In FY21, the PAT stood at ₹16.64 cr indicating a promising start. PAT increased in FY22 to ₹26.15 cr reflecting an improvement in profitability. The most recent fiscal year, FY23, witnessed a surge in PAT reaching ₹38.41.

Krystal Integrated Services Vs Peer Comparison

Compared to its competitors, Krystal Integrated Services has the highest EPS of 33.33, whereas its listed peer Quess Corp holds the lower EPS standing at 15.16. Generally, a higher EPS is seen as favorable.